Virtual Reality programs did not perform as well as expected in 2016, but the unforeseen success of Augmented Reality programs is pushing the industry forward.
According to the Virtual Report, at the start of 2016, it was believed VR would deliver $3.8 billion in revenue but fell short last year at $2.7 billion. It was the additional $1.2 billion AR revenue that surprised the market with the boom in Pokemon GO’s unexpected success that brought the combined VR/AR market up to $3.9 billion.
However, that won’t stop the VR/AR phenomenon from growing. The beginning of this year shows that Europe has reached almost 300 VR companies on the continent that are continuing to develop new games and programs for the industry.
According to VR Tech, the future of VR/AR depends on better hardware, software, and more power to produce a larger outreach to the public. VR and AR naturally have high demands to measure, track, project, and anticipate movement in order to provide the optimal experience. The industry can be improved by using better and cheaper hardware.
The 2016 results have not hindered VR and AR growth, but rather reshaped how the market will progress forward. With more companies on board and the unexpected success with AR, according to VR Tech, the industry can expect greater VR/AR programs in gaming, healthcare, twitter, and marketing imagery.
One such European VR company able that has been able to flourish during this time is the Dublin-based, Virtual Reality studio, Warducks. Hopping on the success of last year’s Global Agents with a quarter of a million downloads, the Irish startup is looking to continue with its latest title, Sneaky Bears.
Founded by a former Facebook Games veteran and leader in Ireland’s Virtual Reality space Nikki Lannen, the company from the Emerald Isle is on a mission to bring fun and engaging content to mobile VR – an industry that’s projected to generate $120 billion in revenue by 2020.