IDC predicts temporary drop in sales of AR/VR headsets

“Average selling prices for augmented reality (AR) headsets have usually surpassed this price level, while prices for virtual reality (VR), mixed reality (MR), and extended reality (ER) headsets have generally been lower,” he explained. “The introduction of Apple’s Vision Pro increased the average selling prices for MR headsets, but the availability of more affordable options from Meta and HTC has prevented significant price increases. Concurrently, there have been numerous VR and ER devices priced under $500.”

Recovery on the horizon

Looking forward, Llamas noted that IDC expects average selling price reduction across all product categories: “Given that the market is still nascent, with early adopters primarily purchasing higher-priced first- and second-generation devices, prices will remain elevated. Vendors will have to lower prices on subsequent generations of devices to achieve mass market penetration.”

IDC anticipates that “headset shipments will bounce back later this year, with a projected increase of 7.5% over 2023. The introduction of newer headsets and affordable pricing will contribute to the anticipated recovery later in the year. Moreover, headset shipment volume is estimated to demonstrate a compound annual growth rate (CAGR) of 43.9% from 2024 to 2028.”

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AndyC

Andy Curtis is an award-winning security consultant, researcher and public speaker. He has been working in the computer security industry since the early 1990s, having been employed by state and federal government, leading healthcare and banking providers across three continents. He has given talks about computer security for some of the world’s largest companies, worked with law enforcement agencies on investigations into hacking groups, and is a regular voice on TV and radio explaining IT security threats.

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