The latest analysis of the virtual reality gambling market published by Technavio predicts that the market will grow by $1.74 billion by 2025 and reach a CAGR of 53.13% between 2021 and 2025.
With users increasingly accepting online gaming platforms and casinos, the future has never looked so bright for the VR gambling market. The online gambling sector has already seen significant upgrades in the last decade, such as the introduction of live dealer games, 3D graphics, and mobile gaming. Virtual reality is the next threshold online gambling is expected to cross.
The report also highlights the influence of the COVID-19 pandemic on the rising demand for socialization via virtual games.
The main factor expected to slow down the adoption rate and the growth of the VR gambling market is the cost of VR headsets. VR hardware is retailing at high prices, and for most consumers, it’s a high entry barrier. VR headset privacy concerns and gambling bans in force in many countries are also cited as obstacles.
The growth of VR online gaming will depend on several companies, 888 Holdings Plc, DraftKings Inc., Caesars Entertainment Corp., Golden Nugget, Evolution Gaming Group, Kindred Group Plc, GVC Holdings Plc, SlotsMillion, Mr Green, and William Hill Plc among them. The market is fragmented, and companies are focusing more on growth prospects in sectors characterized by more rapid growth while they maintain a presence in other segments.
In an earlier report by Global Industry Analysts, the global casino market was estimated at $123.4 billion and was predicted to reach $159.3 billion by 2027. The growth of the worldwide gambling market was 32.17% in 2021, and 43% of the total gain can be attributed to North America. Given that the entire industry is on the rise, it seems probable that the innovative VR gambling market will become a significant segment of it in the near future.