
Apple Vision Pro Sparks Transformation in VR/MR Market, Says TrendForce | Image Source: www.trendforce.com
LAS VEGAS, Dec. 20, 2024 — The global virtual reality (VR) and mixed reality (MR) markets are poised for significant transformation in 2024, driven by groundbreaking developments in technology and pricing strategies. According to a TrendForce report, worldwide VR and MR device shipments are forecasted to reach 9.6 million units in 2024, marking an 8.8% year-over-year increase. The report identifies three pivotal trends shaping the industry: the rise of low-cost devices, a shift from entertainment to productivity applications, and the adoption of OLEDoS as the go-to display technology for premium devices.
Meta Retains Leadership with Budget-Friendly Quest 3S
Meta continues to dominate the VR/MR market, holding a commanding 73% share in 2024, largely attributed to the success of its Quest 3S headset. Priced at $299, the Quest 3S has propelled Meta’s shipments upward by 11% year-over-year. As per TrendForce, Meta’s strategy of prioritizing affordability has effectively captured consumer interest in a market constrained by limited new applications. Notably, the company has suspended plans for its high-end Quest Pro 2 model, further emphasizing its shift toward cost-effective devices.
This strategic move underlines the increasing price sensitivity among consumers, a key factor that has cemented LCD technology as the dominant display option in VR/MR devices. Over 80% of VR/MR headsets on the market now feature LCD displays, aligning with the affordability-focused preferences of consumers.
Sony’s PS VR2 Faces Decline Despite Efforts to Expand Compatibility
Sony’s PS VR2, with its integration efforts aimed at bridging PC and PlayStation platforms, secured a 9% market share in 2024, placing it as the second-largest player. However, these efforts have not been enough to offset a 25% year-over-year decline in shipments. According to TrendForce, the headset’s limited functionality and application support have hindered its competitiveness, especially as consumers increasingly prioritize versatility and affordability in their purchasing decisions.
Apple Vision Pro Debuts, Redefining Market Expectations
Marking its entry into the VR/MR sector, Apple’s Vision Pro has swiftly captured 5% of the market, positioning it as the third-largest player. Unlike the runaway success of previous Apple product launches, Vision Pro’s performance has been tempered by its premium price and limited application resources. Nevertheless, the device has set a new standard for the industry by showcasing the first-ever use of OLEDoS display technology, which boasts resolutions exceeding 3,000 PPI. As stated by TrendForce, this advancement has established a benchmark for visual quality in the sector.
The Vision Pro has also initiated a paradigm shift in the perception of VR/MR devices. Traditionally seen as tools for entertainment, these devices are now expanding into productivity applications, including document editing, virtual meetings, healthcare, and education. This shift underscores the potential for VR/MR technologies to serve diverse consumer and enterprise markets, prompting competitors to reassess the functionality of their offerings.
Future Prospects: Apple’s Dual-Track Strategy
Looking ahead, Apple is expected to release its next-generation VR/MR devices as early as 2026. In line with TrendForce’s analysis, Apple plans to adopt a dual-track strategy targeting both high-end and mainstream market segments. The high-end model will likely continue to feature OLEDoS display technology, ensuring unparalleled visual performance. To optimize production costs, Apple may explore sourcing components from suppliers beyond Sony, including emerging Chinese manufacturers with expanding production capabilities.
For its mainstream model, Apple is expected to focus on cost-efficiency and affordability. Potential display options include glass-based OLED and LCDs with LTPO backplane technology, offering a balance of performance and cost-effectiveness. This approach aims to broaden Apple’s market reach by appealing to price-sensitive consumers while maintaining its premium brand reputation.
TrendForce’s CES 2025 Seminar to Highlight Industry Trends
As the VR/MR industry evolves, TrendForce will delve deeper into these developments during its CES 2025 seminar titled “Future Vision: VR/MR Devices Driving Near-Eye Display Advancements.” The event, scheduled for January 8, 2025, at the Renaissance Las Vegas Hotel, will feature insights from Senior Research Vice President Eric Chiou. Discussions will span key topics such as advancements in near-eye displays, the memory and NAND markets, and AI server trends. Attendees can expect to gain a comprehensive understanding of the factors shaping the future of VR/MR technology and its applications across industries.
With global VR/MR shipments on the rise and innovations like Apple’s Vision Pro redefining market expectations, the industry is entering a transformative phase. Affordability, functionality, and display quality will continue to be critical drivers as companies compete to meet the evolving demands of consumers and enterprises.