Worldwide shipments for AR and VR headsets will grow to 68.9 million units in 2022 with a five-year compound annual growth rate (CAGR) of 52.5%, according to the latest forecast from the IDC Worldwide Quarterly Augmented and Virtual Reality Headset  Tracker. Despite the weakness the market experienced in 2017, IDC anticipates a return
to growth in 2018 with total combined AR/VR volumes reaching 12.4 million units, marking a year- over-year increase of 48.5% as new vendors, new-use cases, and new business models emerge. The worldwide AR/ VR headset market retreated in 2017 primarily due to a decline in shipments of screenless VR viewers.

Looking ahead, IDC expects the VR headset market to rebound in 2018 as new devices such as Facebook’s Oculus Go, HTC’s Vive Pro and Lenovo’s Mirage Solo ship into the market with new capabilities and new price points.