onStrategy

Consumer VR Ecosystem - Games

December 9, 2022
< 1 minute

By Sorin Anagnoste

Strategy | Business Models | Tech

Consumer VR Ecosystem - gaming


 

It’s been 6 years since the famous photo of Mark Zuckerberg entering the conference room full of people wearing Oculus at Mobile World Congress and the VR market is still blocked in the “Innovators” category. Like always, crossing the chasm is the real challenge.

Looking at the gaming market ($ 182 bn – without China) – the VR revenues expected for 2024 will barely move the needle: $ 3,2 bn (expected).

However, the ecosystem is developing at a faster face, as can be seen below.

Here are the top preferred cases for VR headsets (in this order):
1/ Gaming (72%)
2/ Watching video/films (63%)
3/ Attending virtual events/performances (54%)

Most games preferred are Adventure (60%), Shooters (60%) and Simulation (43%). As a result, we see that game engines start to support VR app development more and more. Unity and Unreal Engine remain the most popular platforms for VR app development.

Still more to be done to reach a higher-fidelity VR experience: from headsets to controllers to peripherals.

Monetisation is split in two:
1/ Initial Acquisition: Pay-to-Play or Free-to-Play
2/ Recurring monetisation: In-game purchases, content passes and subscription

Further use cases will start to be seen in Retail, Education, Automotive, Tourism and Healthcare.

source: Newzoo

Discover posts:

The 5 stages of social media

The 5 stages of Social Media

I gave today a presentation to a group of students from Sapienza University, who visited our university for the Foresight project. Given the strategy context of Italian companies, the mention of Social Media was inevitable, so I had to rely on the ideas of Sam Lessin, a former Facebook executive, (...)

Read more
2023 Business Predictions

My business predictions for 2023

  ? Companies Happy New Year! ? Here are my business predictions for 2023: 1/ Cash is king and with higher interest rates more industry consolidation will happen (e.g. food delivery, streaming, micromobility etc) 2/ Disney’s stock lost 44% YTD, hence they have brought back their legendary CEO from retirement. (...)

Read more