Reuters in an article by David Randall, the latest development of Virtual Reality sees a growing number of U.S. companies are counting on virtual reality for real profits.
With growth hard to come by amid the lethargic economy, companies ranging from snowmobile manufacturers to furniture sellers are incorporating virtual reality that so far has mostly been found in video games. Their bet: that the trendy headset-based technology can help them build sales and cut costs.
Read more in Can virtual reality translate into real profits?
Deloitte on the same subject in March 29th, 2016 developped the potential utilisation of this technological marvel.
Virtual reality to become a billion dollar niche, Deloitte 2016 Middle East TMT Predictions
29 March 2016 – In its 4th year of releasing TMT predictions with specific relevance to the MENA region, Deloitte continues to supply industry insights based on deep analysis, built around meetings with industry experts and field executives, as well as Deloitte’s proprietary programs of research with tens of thousands of consumers worldwide. Global TMT predictions focused this year on virtual reality, women in IT jobs, cognitive technologies, mobile ad-blockers, mobile games, and Gigabit Internet, European sports, and e-sports.
“A lot of energy has been poured into these predictions, as there are few other industries that are as exciting, fast-evolving, and game changing as TMT. More exciting than this is witnessing the Middle East adopt and create their own trends in the TMT space. Over the past five years, this region has made significant forays in broadband connectivity and speed, which have in turn enabled new categories of service to become mainstream,” said Emmanuel Durou, Partner and Technology, Media & Telecommunications (TMT) Leader at Deloitte Middle East.
“In 2016, we look forward to seeing some evergreen ideas finally take flight in the Middle East. These include virtual reality corporate applications, hybrid cloud adoption, or the take-up of cognitive technologies in enterprise software. We also see mobile everywhere – taking over in gaming and now payment with touch commerce,” he added.
The Deloitte TMT Middle East predictions explored in the report include four areas:
Deloitte predicts that most MENA revenues from Virtual Reality (VR) devices and services in 2016 will continue to be driven from video games. According to industry sources, the estimated MENA computer gaming market is currently around US$1.5bn and forecast to grow three-fold by 2020, the majority of which will come from the GCC region.
GCC countries have already witnessed companies beginning to sell commercial enterprise VR solutions and corporates incorporating VR solutions to help sell their products and services. Although currently at a low base, the VR market in the region is expected to grow at a rapid rate, driven as much by the corporate sector as by gaming.
Development of VR technology has spurred a global race to identify and capture the next major market opportunities. However VR still faces technological and user experience challenges before it can make the transition to mainstream adoption. So, will VR crossover from niche to mainstream? It is predicted that it eventually could, but not yet.
Deloitte predicts that mobile driven commerce will enter into mainstream in 2016 in the Middle East. The early success stories of app based payment such as mPay seem to be a case in point. However, the pace of adoption of mobile enabled commerce will differ greatly depending on the underlying technology. While Near Field Communication (NFC) is taking time to gain traction, Deloitte predicts a promising customer uptake of touch commerce, depending of the pace of rollout by ecommerce and payment platforms in the region.
However it will take some time before touch commerce becomes mainstream and displaces cash-on-delivery as the number one payment method for online shopping in the region.
Click the link below to download the Arabic pdf version : http://www2.deloitte.com/content/dam/Deloitte/xe/Documents/About-Deloitte/pressreleases/dme_pr_Deloitte-2016-Middle-East-TMT-Predictions-Virtual-reality-to-become-a-billion-dollar-niche_AR.pdf