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Virtual Reality and Augmented Reality: differences, market, perspectives and industrial applications

Virtual Reality and Augmented Reality: differences, market, perspectives and industrial applications

In recent years, Virtual Reality (VR) and Augmented Reality (AR) have become increasingly present technologies in our daily lives, from video games to the manufacturing industry. Although they are often confused or used synonymously, VR and AR are two quite distinct solutions, each with unique characteristics and specific areas of application. In this article, we will analyze the main differences between virtual reality and augmented reality, explore global market trends, and outline future prospects with a special focus on the most innovative industrial applications.

What is Virtual Reality?

La Virtual Reality (VR) is a technology that creates a fully digital and immersive environment. By wearing devices such as VR viewers, users are transported into an artificial world where they can interact with 3D objects and environments. Everything you see and hear is computer generated, isolating you from the real world.

Examples of VR use

  • Flight simulations for pilot training
  • Immersive video games
  • Virtual tours of museums, cities or real estate
  • Psychological therapies, such as treatment of phobias

What is Augmented Reality?

La Augmented Reality (AR) overlays digital elements on top of the real world. Using smartphones, tablets or special glasses, you can see images, sounds or other information embedded in your surroundings. Unlike VR, AR does not replace the real world, but enriches it.

Examples of the use of AR

  • Instagram and Snapchat filters
  • Interior design applications that show virtual furniture in the home
  • Interactive travel guides
  • Visual aids for industrial maintenance

Main differences between VR and AR

Feature

Virtual Reality (VR)

Augmented Reality (AR)

Environment

Fully digital

Real with digital elements

Device

VR Visors

Smartphones, tablets, AR glasses

Isolation from the real world

Total

Partial, integration with the environment

Main applications

Gaming, training, entertainment

Marketing, technical support, industrial maintenance

AR/VR market size and growth

The global AR and VR market is expanding rapidly

  • Present value (2024): US$22.1 billion, of which AR accounts for US$13.9 billion (63%) and VR US$8.2 billion (37%)
  • Forecast for 2029: USD 94.8 billion
  • Compound annual growth rate (CAGR): 34,2% (2024-2029)

Market Breakdown by Application (2024)

  • Gaming and entertainment: about USD 14 billion
  • Training and education: about US$4 billion
  • Marketing and advertising: about USD 2 billion
  • Technical support and industrial maintenance: about 1 billion USD
  • Health care and medicine: about US$1 billion
  • Other (tourism, architecture, etc.): about 1 billion USD

Major suppliers of AR/VR devices and software.

Here are some of the major players in the AR/VR industry

  1. Meta (Oculus): Leading the VR visor market with the Quest line.
  2. Sony Interactive Entertainment: manufacturer of the PlayStation VR
  3. HTC: With the Vive series, offers VR solutions for consumers and businesses
  4. Apple: Recently entered the market with advanced AR devices
  5. Microsoft: With HoloLens, focused on enterprise AR applications
  6. Google: Develops AR solutions through platforms such as ARCore
  7. Unity Technologies: Provides a development engine for AR/VR content.
  8. Niantic: Known for AR games like Pokémon GO
  9. Pico Interactive: Chinese manufacturer of standalone VR visors
  10. Snap Inc: famous for its AR filters on Snapchat

Geographical situation of the AR/VR market.

  • Italy: in 2024, the AR/VR market generated a turnover of USD 1.67 billion, with a projected growth to USD 7.18 billion by 2030 (CAGR of 28.5%)
  • Europe: AR/VR market has been valued at USD 6 billion in 2024 with an expected annual growth of 30-35%, set to exceed USD 30 billion by 2030
  • United States: An industry leader with strong investments in AR/VR for applications in gaming, education and healthcare.
  • China: Rapidly expanding market with many local manufacturers and growing adoption in various sectors.
  • India: Emerging country in the AR/VR landscape, with growing interest in education and entertainment.

Industrial applications

Virtual Reality (VR) and Augmented Reality (AR) applications in industrial service and maintenance are radically transforming the way processes are managed, improving operational efficiency, reducing costs, and increasing the accuracy of activities. The global market for these technologies in industrial settings is growing and is estimated to reach about US$1 billion.

Applications of AR and VR in technical assistance and industrial maintenance

  1. Remote assistance and remote support: Augmented reality enables engineers and technicians to provide real-time support remotely. Using AR devices (such as smart glasses or smartphones), technicians can receive information superimposed on the real world, such as diagrams, instructions or error reports, while performing repairs or maintenance. In this way, a remote expert can guide them step by step, reducing the need for physical intervention and increasing the speed of troubleshooting.
  2. Predictive maintenance: With the use of AR, operators can visualize real-time IoT (Internet of Things) sensor data directly on plants and machines, enabling predictive maintenance. Visualizing plant performance helps prevent unexpected failures and plan maintenance actions before malfunctions occur, improving efficiency and reducing downtime.
  3. Training of technicians: AR and VR are being used to train technicians on complex operations and maintenance best practices. In a virtual environment, technicians can practice without risking damage to real equipment, while AR applications can help them understand and memorize maintenance procedures more quickly through visual and contextual instructions.
  4. Assembly and testing: Augmented reality is used to assist in assembly and testing. Workers can see in overlays on real objects the steps to be followed to assemble components correctly. In addition, AR can be used to highlight defects in components during testing, making anomaly detection faster.
  5. Quality inspections and audits: During inspections, augmented reality can superimpose design specifications on physical objects, allowing inspectors to easily verify whether tolerances and specifications are met. In addition, with augmented reality, inspectors can annotate directly on images or videos of the inspected objects, improving the accuracy and documentation of the quality audit.

Why Augmented Reality is more useful than Virtual Reality in industrial applications

  1. Interaction with the real world: Augmented reality, as opposed to virtual reality, is particularly suitable for industrial applications because it allows operators to interact with the physical environment while viewing digital information. AR provides contextual information in real time without distracting the user from the real world. For example, a technician performing maintenance on a machine can view the necessary instructions, data and schematics right above the machine without having to take off the visor and without distracting from what he or she is doing.
  2. Overlapping data: Augmented reality allows data to be visualized directly on physical objects, making it easier and faster to analyze equipment conditions or operations to be performed. With AR, operators can have a complete overview of the system, receiving visual information that is superimposed on the real world. This type of interaction is especially useful in maintenance and inspection operations.
  3. Less isolation: virtual reality, on the contrary, tends to isolate the user from the outside world, creating a completely simulated environment. Although VR is very useful for training (for example, in dangerous scenarios or simulated situations), in everyday industrial applications, it is more functional to have a combined view of physical reality and digital information, which AR can provide. In addition, VR requires special environments (such as rooms with simulation equipment), while AR can be used directly in the workplace.
  4. Training and operating procedures: AR is also ideal for on-the-job training, where operators can receive additional information about the devices they are working on, such as wiring diagrams, maintenance manuals, or assembly instructions, without having to stop work or move around. Virtual reality, while useful for simulated training, does not have the same ability to complement the physical world during daily operations.

Innovative industrial applications

In addition to the aforementioned applications, AR is also becoming a key ally in the following innovative industry areas

  • Virtual assistants for assembly and repair: AR applications can guide workers in real time, step by step, to assemble or repair equipment, providing specific details and feedback on the correct execution of the work.
  • Quality Testing and Inspections.: inspectors can use AR to superimpose quality specifications on the objects under examination, performing checks without the need for additional tools or continually referring to manuals and paperwork.
  • Automation and integration with robots: AR can be used to manage interaction with industrial robots, where operators see overlaid instructions on how to integrate or work with robots during the production process, thus improving efficiency.

Conclusion

In summary, augmented reality (AR) is generally more useful in industrial applications than virtual reality (VR), as it allows digital information to be integrated with the physical world, supporting operations such as assembly, inspection, testing, and predictive maintenance. AR technologies reduce downtime, improve accuracy and provide real-time training, making them valuable tools for modern industry.

Rizzitelli
23 May 2025

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