AR AND VR MARKET SIZE IN HEALTHCARE TO CROSS REVENUES OF USD 3 BILLION IN 2023, GROWING AT A CAGR OF OVER 31% DURING THE FORECAST PERIOD

AR and VR In Healthcare Market Size, Share, & Trends Analysis Report By Applications (AR (Surgeries, Rehabilitation, And Training and Medical Education) and VR (Simulation, Diagnostics, Rehabilitation, Pain Distractions, and VRET)), Technology (AR and VR), Component (Hardware and Software), and Geography (North America, APAC, Europe, and Rest Of The World) Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2018-2023

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Most Exhaustive Report

141 Pages

20 Tables

55 Charts

3 Regions

3 Countries

27 Companies

4 Market Segment

AR and VR Market In Healthcare Report Scope

Report Attribute Details
Market Size (Revenue) USD 3 Billion (2023)
CAGR 31% (2018-2023)
Base Year 2017
Forecast Year 2018-2023
Market Segments Applications (AR (Surgeries, Rehabilitation, And Training and Medical Education) and VR (Simulation, Diagnostics, Rehabilitation, Pain Distractions, and VRET)), and Technology (AR and VR), Component (Hardware and Software)
Geographic Analysis North America, APAC, Europe, and Rest of the World
Countries Covered US, UK, and China

INDUSTRY INSIGHTS

The increasing number of diabetic, HIV, and dementia patients and the high prevalence of chronic diseases around the globe are driving the expenditure in the healthcare industry. The implementation of internet analytics and IT lead innovations is fueling the development of the augmented reality and virtual reality market in the healthcare industry. Technological innovations help improve cost-effectiveness, offer better communication between the patient and the doctor, provide easy exchange of reports, improve tracking of the patient’s health, and offer better workforce training. The increasing investments in developing digital healthcare technologies are creating new opportunities for vendors in the global AR and VR market in healthcare. The launch of innovative technology such as next-generation sequencing (NGS), 3D-printing, immunotherapy, artificial intelligence (AI), point-of-care diagnostics (POC), virtual reality (VR), augmented reality (AR), biosensors and trackers, convenient care, and telehealth will help enhance the consumer experience and offer better patient care.

The growing demand for AR and VR technology in the healthcare market will create new opportunities for leading vendors in the market. The convenience of training and the easy transfer of information are driving the growth of augmented reality (AR) and virtual reality (VR) market in the healthcare industry.

Market Dynamics

The introduction of innovative technology and advanced medical devices helps reduce healthcare spending and saves time. The introduction of virtual healthcare applications efficiently handles patient care and offers superior services through the telemedicine platform. The implementation of such advanced and innovative technology will drive the growth of the AR and VR market in healthcare. The increasing use of augmented reality and virtual reality in the healthcare sector helps reduce medical training costs significantly and revolutionizes surgical procedures in the global industry. Diagnosis and medical history of the patient are now stored on smart wearables and can be accessed from remote locations. Such advancement will augment the development of the global AR and VR market in healthcare during the forecast period.

Augmented Reality (AR) and Virtual Reality (VR) Market in Healthcare Segmentation

This market research report includes a detailed segmentation of the market by

  1. Applications
  2. Technology
  3. Component
  4. Geography

Insights by Component 

Introduction of innovative hardware devices to boost sales in the AR and VR market in healthcare during forecast period

The components segment in the AR and VR market in healthcare include hardware and software. The hardware segment dominated the global AR and VR market in healthcare accounting for around 67% of the total market share in 2017. The hardware component in the AR and VR market in healthcare consists of desktops, smartphones, head-mounted displays (HMDs), tablets, smart glasses, and other connected devices. The growing adoption of augmented reality (AR) and virtual reality (VR) devices helps in simulation, visualizations, analysis of data, recording video, telemedicine, telemonitoring, and assist doctors during surgeries and help in the rehabilitation process. Some of the leading hardware vendors in the AR and VR market in healthcare are Oculus Rift, HTC Vive, Samsung Gear VR, Google Glass, Microsoft HoloLens, ODG R-8, and Epson Moverio.

Insights by Technology

The emergence of big data, cloud technologies, and network connectivity to augment the growth of the AR and VR market in healthcare

The AR and VR market in healthcare by technology is classified into AR and VR. The AR technology segment dominated the AR and VR market in healthcare growing at an exponential CAGR of close to 30% during the forecast period. Factors such as easy communication between doctors and patients, medical education, and corporate communication and sales are boosting the adoption of AR technology in the global AR and VR market in healthcare. Medical professionals in the global market are using augmented reality to perform surgeries in remote locations, send anatomical drawings, and offer voice assistance during the procedure. The increasing investment in the development of AR technology will boost the adoption of these devices in the global AR and VR market in healthcare during the forecast period.

Insights by Applications

AR assisted surgery to gain immense popularity in the AR and VR market in healthcare during forecast period

The applications segment in the global AR and VR market in healthcare consists of AR assisted surgery, AR assisted rehabilitation, AR assisted training and medical education, VR assisted simulation, VR assisted diagnostics, VR assisted rehabilitation, VR assisted pain distraction, and VR assisted virtual reality expose therapy (VRET). The AR assisted surgery segment is gaining popularity in the augmented reality (AR) and virtual reality (VR) market in healthcare growing at a CAGR of more than 29% during the forecast period. AR assisted surgeries are complex ones without any geographical barriers to provide smooth and seamless functioning in these procedures. The increasing use of connected devices such as smartphones and tablets for enhanced guidance during surgeries will drive the growth of the AR assisted surgery in the AR and VR market in healthcare.

Insights by Geography

North Americas is the largest geographical segment in the AR and VR market in healthcare

The AR and VR market in healthcare by geography is classified into North America, APAC, Europe, and ROW. North America dominated the global augmented reality (AR) and virtual reality (VR) market in healthcare, occupying close of half of the total market share in 2017. Rising health-conscious among population, increasing disposable income, and growing penetration of smart devices are some of the factors that can contribute to the growth of the AR and VR market in healthcare in North America. The introduction of innovative medical technologies and sophisticated medical devices and drugs will help leading vendors in North America occupy a larger market share in the AR and VR market in healthcare over next few years.

Insights by Vendors

The AR and VR market in healthcare is highly fragmented with the presence of several vendors offering devices at a competitive price. The infiltration of low-quality products is increasing the competition in the global AR and VR market in healthcare. The leading players are focusing on leveraging technology and brand identity to gain market share in the augmented reality and virtual reality market in healthcare. The increasing investments in R&D for the development of innovative products will create new business opportunities for prominent companies in the market. The increasing focus on emerging companies in the APAC region will help players expand their business and distribution channels to new regions.

The AR and VR In Healthcare Market research report include in-depth coverage of the industry analysis with revenue and forecast insights for the following segments:

Market Segmentation by Applications

  • Augmented Reality
    • AR assisted surgery
    • AR assisted rehabilitation
    • AR assisted training and medical education
  • Virtual Reality
    • VR assisted simulation
    • VR assisted diagnostics
    • VR assisted rehabilitation
    • VR assisted pain distraction
    • VR assisted virtual reality expose therapy (VRET)

Market Segmentation by Technology

  • Augmented Reality (AR)
  • Virtual Reality (VR)

Market Segmentation by Component

  • Hardware
  • Software

Market Segmentation by Geography

  • North America
    • US
  • Europe
    • UK
  • APAC
    • China
  • Rest of the World

Frequently Asked Questions

AR AND VR MARKET SIZE IN HEALTHCARE TO CROSS REVENUES OF USD 3 BILLION IN 2023, GROWING AT A CAGR OF OVER 31% DURING THE FORECAST PERIOD
The implementation of internet analytics and IT lead innovations is fueling the development of the augmented reality and virtual reality market in the healthcare industry.
The hardware segment dominated the global AR and VR market in healthcare accounting for around 67% of the total market share in 2017. Some of the leading hardware vendors in the AR and VR market in healthcare are Oculus Rift, HTC Vive, Samsung Gear VR, Google Glass, Microsoft HoloLens, ODG R-8, and Epson Moverio.
North America dominated the global augmented reality (AR) and virtual reality (VR) market in healthcare, occupying close of half of the total market share in 2017. Rising health-conscious among population, increasing disposable income, and growing penetration of smart devices are some of the factors that can contribute to the growth of the AR and VR market in healthcare in North America.
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The global augmented reality (AR) and virtual reality (VR) market in healthcare size is expected to reach around $3,038 million by 2023, growing at an impressive CAGR of around 31% 2017–2023.

The market research report provides an in-depth market and segmental analysis of the global AR and VR market in healthcare by applications, technology, component, and geography. The AR and VR market in healthcare is driven by the development of digital healthcare technologies. The introduction of next-generation sequencing (NGS), 3D-printing, immunotherapy, artificial intelligence (AI), point-of-care diagnostics (POC), virtual reality (VR), augmented reality (AR), biosensors and trackers, convenient care, and telehealth will revolutionize the healthcare market.

Base Year:                  2017

Forecast Year:           2018–2023

The study considers the present scenario of the augmented reality and virtual reality in healthcare and its market dynamics for the period 2018−2023. The study covers a detailed overview of various market growth enablers, restraints, and trends. It covers both the demand and supply sides of the market.

Major Vendors in the AR and VR Market in Healthcare

  • Key Companies in AR
    • Orca Health
      • Business Overview
      • Healthcare Solutions
    • Brain Power LLC
    • Medsight Tech
    • AccuVein
    • EchoPixel Inc
    • Augmedix
    • Atheer Inc
    • Aira
    • Proximie
    • Kinosis Ltd
  • Key Companies in VR
    • MindMaze
    • Psious
    • Virtually Better
    • First Hand Technology
    • Immersive Touch
    • Medical Realities
    • Osso VR Inc
    • VirtaMed
    • zSpace Inc
    • Surgical Theater
  • Key Companies for Devices
    • Microsoft
    • Alphabet Inc
    • Magic Leap
    • Osterhout Design Group Inc
    • Facebook
    • HTC
    • Vuzix

    Market Segmentation by Applications

    • Augmented Reality
      • AR assisted surgery
      • AR assisted rehabilitation
      • AR assisted training and medical education
    • Virtual Reality
      • VR assisted simulation
      • VR assisted diagnostics
      • VR assisted rehabilitation
      • VR assisted pain distraction
      • VR assisted virtual reality expose therapy (VRET)

    Market Segmentation by Technology

    • Augmented Reality (AR)
    • Virtual Reality (VR)

    Market Segmentation by Component

    • Hardware
    • Software

    Market Segmentation by Geography

    • North America
      • US
    • Europe
      • UK
    • APAC
      • China
    • ROW

    1          Research Methodology

    2          Research objectives

    3          Research Process

     

    4          Report Coverage

    4.1       Market Definition

    4.2       Base Year

    4.3       Scope of Study

    4.3.1   Market Segmentation by Component Type

    4.3.2   Market Segmentation by Application Type in AR

    4.3.3   Market Segmentation by Application Type in VR

    4.3.4   Market Segmentation by Technology

    4.3.5   Market Segmentation by Geography

     

    5          Report Assumptions & Caveats

    5.1.1   Inclusions

    5.1.2   Exclusions

    5.2       Currency Conversion rate

    5.3       Market Derivation

     

    6          Market at a Glance

     

    7          Introduction

    7.1       Augmented reality (AR)

    7.1.1   Types of AR

    7.1.2   Working of AR

    7.1.3   Uses of AR

    7.2       Virtual reality (VR)

    7.2.1   Uses of VR

    7.2.2   Key Drivers of VR

    8          Market Dynamics

    8.1       Market Growth Enablers

    8.1.1   Growth of Aging Population

    8.1.2   Increased Spending on Healthcare

    8.1.3   Increased Penetration of Connected Devices in Healthcare

    8.2       Market Growth Restraint

    8.2.1   Low Number of Expert Medical Professional and Lack of Infrastructure for New Technologies

    8.2.2   Data Security of Medical Records

    8.3       Market Opportunities & Trends

    8.3.1   Reduced Healthcare Spending and Time

    8.3.2   Increasing Investment in AR and VR Market

    8.3.3   Increased Use of AR and VR in Fitness Industry

     

    9          Global AR and VR Market in Healthcare

    9.1       Market Overview

    9.2       Market Size & Forecast

    9.3       Porter’s Five Forces Analysis

    9.3.1   Threat of New Entrants

    9.3.2   Bargaining Power of Suppliers

    9.3.3   Bargaining Power of Buyers

    9.3.4   Threat of Substitutes

    9.3.5   Competitive Rivalry

     

    10        AR and VR in Healthcare Market by Components

    10.1    Market overview

    10.2    Hardware

    10.2.1 Market Overview

    10.2.2 Market size and Forecast

    10.3    Software

    10.3.1 Market Overview

    10.3.2 Market size and Forecast

     

    11        AR and VR Market in Healthcare by Technology

    11.1    Market Overview        

    11.2    AR in Healthcare

    11.2.1 Market Overview

    11.2.2 Market Size & Forecast

    11.3    VR in Healthcare

    11.3.1 Market Overview

    11.3.2 Market Size & Forecast

     

    12        AR and VR in Healthcare by Application

    12.1    Market Overview

    12.2    AR assisted Surgery

    12.2.1 Market Size & Forecast

    12.3    AR Assisted Rehabilitation

    12.3.1 Market Size & Forecast

    12.4    ar assisted Training and Medical Education

    12.4.1 Market Size & Forecast

    12.5    VR Assisted Simulation

    12.5.1 Market Size & Forecast

    12.6    VR Assisted Diagnostics

    12.6.1 Market Size & Forecast

    12.7    VR Assisted Rehabilitation

    12.7.1 Market Size & Forecast

    12.8    VR Assisted Pain Distraction

    12.8.1 Market Size & Forecast

    12.9    VR Assisted Virtual Reality Expose Therapy (VRET)

    12.9.1 Market Size & Forecast

     

    13        AR and VR in Healthcare Market By Geography

    13.1    Market Overview

    13.1.1 Market Size & Forecast

     

    14        NORTH AMERICA: AR and VR MARKET in Healthcare

    14.1    Market Overview

    14.2    Market Size & Forecast

    14.3    Key Countries

    14.3.1 US: Market Size & Forecast

                                                                   

    15        Europe: AR and VR in Healthcare Market

    15.1    Market Overview

    15.2    Market Size & Forecast

    15.3    Key Countries

    15.3.1 UK: Market Size & Forecast

     

    16        APAC: AR and VR in Healthcare Market

    16.1    Market Overview

    16.2    Market Size & Forecast

    16.3    Key Countries

    16.3.1 China: Market Size & Forecast

     

    17        ROW: AR and VR in Healthcare Market

    17.1    Market Overview

    17.2    Market Size & Forecast

     

    18        Competitive Landscape

    18.1    Market Overview

     

    19        Key Company Profiles in AR

    19.1    orca health

    19.1.1 Business Overview

    19.1.2 Healthcare Solutions

    19.2    Brain Power llc

    19.2.1 Business Overview

    19.2.2 Healthcare Solutions

    19.3    Medsight Tech

    19.3.1 Business Overview

    19.3.2 Healthcare Solutions

    19.4    Accuvein

    19.4.1 Business Overview

    19.4.2 Healthcare Solutions

    19.5    Echopixel inc.

    19.5.1 Business Overview

    19.5.2 Healthcare Solutions

    19.6    Augmedix

    19.6.1 Business Overview

    19.6.2 Healthcare Solutions

    19.7    ATheer Inc.

    19.7.1 Business overview

    19.7.2 Healthcare Solutions

    19.8    Aira

    19.8.1 Business Overview

    19.8.2 Healthcare Solutions

    19.9    Proximie

    19.9.1 Business Overview

    19.9.2 Healthcare Solutions

    19.10  Kinosis Ltd

    19.10.1           Business Overview

    19.10.2           Healthcare Solutions

     

    20        Key Company Profiles in VR

    20.1    Mind maze

    20.1.1 Business Overview

    20.1.2 Healthcare Solutions

    20.2    PSIOUS

    20.2.1 Business Overview

    20.2.2 Healthcare Solutions

    20.3    Virtually Better

    20.3.1 Business Overview

    20.3.2 Product Offering

    20.4    First hand technology

    20.4.1 Business Overview

    20.4.2 Product Offerings

    20.5    Immersive touch

    20.5.1 Business Overview

    20.5.2 Product offerings

    20.6    medical realities

    20.6.1 Business Overview

    20.6.2 Product Offerings

    20.7    Osso Vr inc.

    20.7.1 Business Overview

    20.7.2 Product Offerings

    20.8    Virtamed

    20.8.1 Business Overview

    20.8.2 Product Offerings

    20.9    Zspace Inc.

    20.9.1 Business Overview

    20.9.2 Product Offerings

    20.10  Surgical Theater

    20.10.1  Business Overview

    20.10.2  Product Offerings

     

    21        Key Company Profiles By Devices

    21.1    Microsoft

    21.1.1 Business Overview

    21.1.2 Product Offerings

    21.2    Alphabet Inc.

    21.2.1 Business Overview

    21.2.2 Product offerings

    21.3    Magic leap

    21.3.1 Business Overview

    21.3.2 Product Offerings

    21.4    Osterhout Design Group Inc.

    21.4.1 Business Overview

    21.4.2 Product Offerings

    21.5    Facebook

    21.5.1 Business overview

    21.5.2 Product Offerings

    21.6    HTC

    21.6.1 Business Overview

    21.6.2 Product offerings

    21.7    Vuzix

    21.7.1 Business Overview

    21.7.2 Product Offerings

     

    22        Report Summary

    22.1    Key Takeaways

    22.2    Qualitative Summary of AR and VR in healthcare Market

    22.3    Quantitative Summary of Global Ar and VR Market

     

    23        Appendix

    23.1    List of Abbreviations

     

    List of Exhibits       

    Exhibit 1         Segmentation of AR and VR in Healthcare

    Exhibit 2         Market Size Calculation Approach 2017

    Exhibit 3         Market Size Calculation 20170

    Exhibit 4         Key Future Trends in Healthcare

    Exhibit 5         Overview of Augmented Reality

    Exhibit 6         Workflow of AR

    Exhibit 7         60+ Aged Population in 2017

    Exhibit 8         World Population by Age Group 2017

    Exhibit 9         Healthcare Spending by Geography 2015 (% of GDP)

    Exhibit 10       Healthcare Spending by Geography ($ trillion)

    Exhibit 11       Market Size of Connected Devices 2017−2023 (billion units)

    Exhibit 12       Some of the Connected Devices in Healthcare Industry

    Exhibit 13       Connected Medical Devices Market 2017−2023 ($ million)

    Exhibit 14       Global Rate of Economic Crime 2001−2016

    Exhibit 15       Reported Cybercrime Rate by Geography 2016

    Exhibit 16       Cybercrime Rate by Industry 2016

    Exhibit 17       Number Deals and Funding for AR and VR Companies in Healthcare 2010−2015

    Exhibit 18       Global AR and VR Healthcare Market 2017−2023 ($ million)

    Exhibit 19       Five Forces Analysis 2017

    Exhibit 20       AR and VR in Healthcare Market by Components

    Exhibit 21       Global Shipment of VR and AR Headset 2016−2023 (million units)

    Exhibit 22       AR and VR Hardware Market in Healthcare 2017−2023 ($ million)

    Exhibit 23       AR and VR Software Market in Healthcare 2017−2023 ($ million)

    Exhibit 24       AR and VR Healthcare Market by Technology

    Exhibit 25       AR and VR in Healthcare Market 2017−2023

    Exhibit 26       AR in Healthcare Market 2017−2023 ($ million)

    Exhibit 27       VR Market in Healthcare 2017−2022 ($ million)

    Exhibit 28       AR and VR Market in Healthcare by Application

    Exhibit 29       AR Assisted Surgery Market 2017−2023 ($ million)

    Exhibit 30       AR Assisted Rehabilitation Market 2017−2023 ($ million)

    Exhibit 31       AR Assisted Training and Medical Education Market 2017−2023 ($ million)

    Exhibit 32       VR Assisted Simulation Market 2017−2023 ($ million)

    Exhibit 33       VR Assisted Diagnostics Market 2017−2023 ($ million)

    Exhibit 34       VR Assisted Rehabilitation Market 2017-2023 ($ million)

    Exhibit 35       VR Assisted Pain Distraction Market 2017−2023 ($ million)

    Exhibit 36       Virtual Reality Expose Therapy Market 2017−2023 ($ million)

    Exhibit 37       AR and VR Market in Healthcare by Geography 2017−2023

    Exhibit 38       National Healthcare Expenditure in US 2013–2023 ($ trillion)

    Exhibit 39       Healthcare AR and VR Market in North America 2017−2023 ($ million)

    Exhibit 40       Healthcare AR and VR Market in US 2017−2023 ($ million)

    Exhibit 41       Healthcare Expenditure Breakdown in Europe 2015

    Exhibit 42       Per Capita Spending in Various Field 2015 ($)

    Exhibit 43       Annual Saving Ratio of Western European Countries 2008−2017

    Exhibit 44       Change in Annual Household Disposable Income in Europe 2008−2015 (%)

    Exhibit 45       Devices Used for Surfing Internet in Europe by Age Group 2016

    Exhibit 46       Changes in Per Capita Disposable Income in EU-28 Countries 2006−2015

    Exhibit 47       Healthcare AR and VR Market in Europe 2017−2023 ($ million)

    Exhibit 48       Healthcare AR and VR Market in UK 2017−2023 ($ million)

    Exhibit 49       Increase in Urban Population in APAC 2005−2045 (%)

    Exhibit 50       Comparison of Southeast Asian Countries with Income Brackets 2010−2025

    Exhibit 51       Healthcare AR and VR Market in APAC 2017−2023 ($ million)

    Exhibit 52       Healthcare AR and VR Market in China 2017−2023 ($ million)

    Exhibit 53       Internet Penetration Worldwide 2017

    Exhibit 54       Internet Penetration across World 2017

    Exhibit 55       Healthcare AR and VR Market in ROW 2017−2023 ($ million)

               

               

    List of Tables

    Table 1            Key Geographies Definition

    Table 2            Key Caveats

    Table 3            Currency Conversion 2014−2017

    Table 4            Popular AR Applications in the Market

    Table 5            AR Wearable Devices

    Table 6            Early VR Inventions in the 1960s

    Table 7            Usage of VR in the 1990s

    Table 8            Leading AR and VR Startups and Related Funding

    Table 9            AR and VR in Healthcare Market by Components 2017−2023 ($ million)

    Table 10         AR and VR Market in Healthcare by Technology 2017−2023 ($ million)

    Table 11         AR Applications in healthcare 2017-2023 ($ million)

    Table 12         VR Applications in Healthcare 2017-2023 ($ million)

    Table 13         AR and VR Market in Healthcare by Geography 2017−2023 ($ million)

    Table 14         Qualitative Summary of Global AR and VR in Healthcare Market

    Table 15         Quantitative Summary of Global AR and VR in Healthcare Market by Geography ($ million)

    Table 16         Quantitative Summary of Global AR and VR in Healthcare Market by Geography (revenue %)

    Table 17         Quantitative Summary of Global AR and VR in Healthcare Market by Technology Type ($ million)

    Table 18         Quantitative Summary of Global AR Application in Healthcare Market ($ million)

    Table 19         Quantitative Summary of Global VR Application in Healthcare Market ($ million)

    Table 20         Quantitative Summary of Global AR and VR in Healthcare Market by Components ($ million)

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