Ericsson Report Forecasts Doubling of AR Device Adoption in Next Five Years

Ericsson Report Forecasts Doubling of AR Device Adoption in Next Five Years

(IN BRIEF) A new report from Ericsson ConsumerLab reveals insights into the future of augmented reality (AR) technology, based on a survey of 10,000 early adopter consumers across ten markets. The report, titled “Augmented Tomorrow: AR Experiences Beyond Smartphones and AR Filters,” highlights a significant surge in consumer interest in extended reality (XR) capabilities, with expectations of the number of consumers combining AR devices with next-generation smartphones to double within the next five years. Key findings include consumers’ willingness to pay more for portable AR devices, advancements in AR technology adapting to geospatial surroundings, and concerns about bystander privacy hindering widespread device adoption. Collaboration among ecosystem players is deemed essential to drive technological development and consumer adoption, with efforts focused on improving connectivity, addressing privacy concerns, and enhancing societal acceptance of AR/MR devices. Jasmeet Singh Sethi, Head of ConsumerLab at Ericsson, envisions a future where AI-powered AR glasses tethered to 5G smartphones serve as a pivotal intermediate step, paving the way for increasingly sophisticated AR applications and a fully immersive AR future.

(PRESS RELEASE) STOCKHOLM, 24-May-2024 — /EuropaWire/ — Early adopter augmented reality (AR) pioneers polled by Ericsson expect the number of consumers combining augmented reality AR devices – such as AR glasses – with next-generation smartphones, to double in the next five years. The consumers’ expectation is outlined in a new report from Ericsson ConsumerLab report – called Augmented Tomorrow: AR Experiences Beyond Smartphones and AR Filters – published, May 23.

The report covers insights from 10,000 early adopter consumers around the globe – representative of about 280 million consumers – in a bid to understand hurdles in evolving the extended reality (XR) landscape.

The report finds rapidly growing interest in extended reality (XR) abilities among early adopters. Factors influencing mass market adoption span technological, social, design, and privacy challenges.

Ericsson ConsumerLab has explored consumer expectations in XR since 2017. The latest report addresses current consumer XR adoption and their expectations about augmented reality (AR) experiences and devices over the next five years.

Key findings:

• Consumers combining smartphones and AR devices to double in the next five years.
• Consumers are hungry for on-the-go AR devices and willing to pay 20 percent more for the portability.
• As AR technology advances in adapting to geospatial surroundings, the range of XR experiences will become more diverse and demanding on 5G.
• Bystander privacy still looms large, hindering device adoption.

The study concludes that the evolution of the AR market evolution will require efforts from a range of ecosystem players to drive technological development and consumer adoption.

Collaboration within the ecosystem will be essential to propel AR technology to its full potential, focusing on improving connectivity, ensuring seamless transitions between devices, improving application and content relevance, addressing privacy concerns, and shaping the societal acceptance of AR/MR devices.

On the last point, 61 percent of consumers polled said they would not wear AR/MR (mixed reality) devices in public if they are not visually appealing.

Jasmeet Singh Sethi, Head of ConsumerLab, Ericsson, says: “Our report uniquely covers the evolution of consumer AR use cases over the next five years, outlining a three-stage transition. We foresee AI-powered AR glasses tethered to 5G smartphones as a pivotal intermediate step, driving wider adoption and leading to increasingly sophisticated applications, ultimately paving the way for a fully immersive AR future.”

Methodology

Study data was collected through in-depth interviews and online surveys across ten markets: UK, Germany, Sweden, Japan, Mainland China, South Korea, UAE, the US, Brazil, and Australia.

In addition, 22 in-depth interviews were conducted between April and June 2023. An online survey was fielded between July and August in 2023 in 10 markets.

The sample consists of 10,000 early adopters aged 15-69, with 1,000 from each market, who use smartphone AR apps and/or virtual reality (VR)/AR/MR headsets/glasses at least every other week or plan to do so in the next five years. The sample represents 280 million early adopters in the markets surveyed.

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SOURCE: ERICSSON