Shipments of augmented reality (AR) and virtual reality (VR) headsets will decline by a sharper-than-expected 12.8 percent year on year in 2022, according to IDC, which predicted a near 27 percent rise earlier this year. Worldwide shipments are set to drop to 9.7 million units this year due to a tough economic environment and rising prices, before returning to growth next year, said the researcher.

In fact, IDC expects shipments to jump 31.5 percent year on year in 2023, with growth set to remain at more than 30 percent for the next several years culminating in 35.1 million units shipped in 2026.

Metaā€™s keenly-priced Quest 2 captured some 84.6 percent of the global AR/VR headset market during the first three quarters of 2022, followed by ByteDance’s Pico with a 7.4 percent share, with DPVR (1.8%), HTC (1.1%) and iQIYI (0.9%) rounding out the top five.

In its report IDC added that each of these companies will face challenges next year as Sonyā€™s next generation headset launches and Apple also enters the market.

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