his is according to Juniper's latest research, Mobile & Online Gambling: Casinos, Lotteries, Betting & VR 2016-2021, which found that global VR gambling deployments over the next five years will be concentrated in the casino space, which will potentially offer immersive, real-world VR locations.
The growth in casino VR follows the trend for the casino sector as a whole to lead the mobile and online gambling marketplace in terms of wagers, with this sector accounting for over 40% of total gross gambling wagers by 2021, says the report.
However, the research noted the high cost of VR devices would inhibit the extent of user adoption, with the addressable base in the short and medium term largely limited to early adopters
Lauren Foye, research author at Juniper, explains the initial user base would primarily comprise smartphone VR players alongside users of top-end PCs seeking the highest fidelity experience.
"These will be coupled with a niche clientele, often high-rollers, thereby resulting in comparatively large average wager amongst these early adopters," she explains.
Exchange betting (placing of bets against another gambler, rather than a bookmaker), will increasingly account for a greater proportion of the mobile and online gambling industry in terms of wagers made, with West Europe being by far the dominant contributor, says Juniper.
According to research firm IDC's recent 'Worldwide Augmented and Virtual Reality Spending Guide', the Middle East and Africa (MEA) augmented reality and VR market will grow strongly over the next five years, posting annual growth rates of more than 100% across the 2016–2020 period.
"The concept of augmented and virtual reality is still relatively new for both vendors and consumers alike, says Saad El Khadem, a research analyst at IDC Middle East, Africa, and Turkey.
"However, the global success of Pokémon Go has brought the concept to a much broader audience. And with industry powerhouses such as Microsoft, Samsung, Google, Sony, and Facebook pushing the technology to the masses, end-user awareness and familiarity is only going to grow."
Research firm Markets and Markets says the global augmented reality market is expected to reach $117.40 billion by 2022 at a compound annual growth (CAGR) rate of 75.72% over the period of 2016 and 2022
The global virtual reality market is expected to reach $33.90 billion by 2022 at a CAGR of 57.84% over the period of 2016 to 2022, says Markets and Markets.
Garner predicts through 2021, businesses will see a rapid evolution of immersive content and applications that will range from consumer entertainment experiences to optimising complex work processes.
"Virtual reality and AR capabilities will merge with the digital mesh to form a more seamless system of devices capable of orchestrating a flow of information that comes to the user as hyper personalised and relevant apps and services. Integration across multiple mobile, wearable, IOT and sensor-rich environments (the digital mesh) will extend immersive applications beyond isolated and single-person experiences. Rooms and spaces will become active with things, and their connection through the mesh will appear and work in conjunction with immersive virtual worlds," says the research company.