Smart Home

Augmented reality market to grow to $7 trillion by 2027

Internet connected devices are all around us, carefully observing our every move. The number of computers, smart wearables and thermostats, tablets, connected cars and fridges will exceed 50 billion by 2020. Technology will soon know everything about us – how the day went at work, our pulse rate, diet and even hobbies.

The data collected by IoT devices drives business trends as companies leverage the information to revolutionize the consumer market. This is only the beginning of the tech revolution, as the Internet of Things has a close relationship with augmented reality (AR), two of the top technologies currently embedded in devices to drive growth and satisfy customer needs.

Manufacturers have been toying with augmented reality for a while but, with the growing adoption of IoT, things seem headed in a more solid direction. By 2019, researchers expect a CAGR of 88.5%, with numbers hitting trillions, especially due to innovation in the gaming industry.

Augmented reality combines the physical world with the digital. It intensifies our real-world perceptions to build a complete experience through smell, touch, hearing and vision. Devices deploying augmented reality allow users to digitally alter the environment, like Kinect dressing rooms, the virtual IKEA catalogue or the recent Pokémon Go hysteria.

“These game based and industrial end-to-end process IoT augmented reality modular Augmented Reality (AR) markets are anticipated to reach $7 trillion by 2027, growing in some cases at the same pace we have seen from Pokémon GO augmented reality,” the research says. “Pokémon GO grew to a massive 45 million daily active users per day after two months in the market, with the market reaching $250 million for the vendor Niantic by September 2016 after two months starting from zero.”

With privacy and security concerns rising each time a new technology is implemented, augmented reality-based devices are also targeted. AR captures and analyzes a high amount of personal information – smart mirrors use facial recognition, device login process through social media accounts or personal emails are only a first-hand example.

Regardless, the promise to enhance our experience through digital manipulation comes with many risks. The biggest question is who has access to the data and how will they use it? Besides, if augmented reality is implemented across various industries or even in government institutions, what happens in case of cyberattacks?

About the author

Luana PASCU

From a young age, Luana knew she wanted to become a writer. After having addressed topics such as NFC, startups, and tech innovation, she has now shifted focus to internet security, with a keen interest in smart homes and IoT threats. Luana is a supporter of women in tech and has a passion for entrepreneurship, technology, and startup culture.