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VR poised to become core part of tech industry’s own reality

Last year’s 5.7 billion yuan VR revenue in China predicted to hit 55 billion yuan by 2020

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A BNP Paribas report highlights how smartphone makers, especially, are now looking at VR as the next major stage in the industry’s development. Photo: AFP
Sarah Zhengin Beijing

Reality gaming — virtual and augmented — is taking over the Chinese technology sector, say analysts, and with both expected to become a lot more widespread over the next year, companies are rushing to grab a share of what could become a 55 billion yuan domestic industry by 2020.

According to a new BNP Paribas report, led by analyst Laura Chen, virtual reality (VR) — the immersive and interactive simulation of reality — especially is becoming the core activity for many firms, with mobile VR set to dominate the landscape, following on the heels of the blockbuster augmented reality (AR) smartphone game, Pokémon Go.

“We see the potential for China to become one of the most important markets for VR in two to three years,” said Chen.

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The enthusiasm for VR products is growing at a furious pace, with iiMedia Research Group now estimating the VR market will surge around 268 per cent in size this year.

In value terms, last year’s 5.7 billion yuan VR industry will mushroom to 55 billion yuan by 2020, it says.

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And the BNP Paribas report highlights how smartphone makers, especially, are now looking at the development of VR as the core part of their own reality moving forward.

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