LONDON – Shipments of near-eye displays for XR applications, including AR, VR and MR, are expected to reach 24 million units in 2023, a 67% year-on-year growth, according to new research from Omdia.
Global inflation, lockdowns in some Chinese cities, and weak demand will see all consumer electronics perform poorly in 2022, and XR products were no exception. XR applications consist of AR (augmented reality), VR (virtual reality), and MR (mixed reality). XR devices are represented in the form of both monetary devices and smart glasses.
In terms of revenue, near-eye display revenue for XR applications will reach $620 million in 2022, increasing to $1.15 billion in 2023. The first year of near-eye displays for XR applications will surpass $1 billion in revenue.
Displays for VR applications still make up the majority of shipments. Given the complexity of AR displays and optical engines, Omdia believes the maturity of AR display technology is still three to five years away from development.
TFT LCD and AMOLED still dominate VR applications. TFT LCD and AMOLED are also the most mature display technologies for near-eye displays. OLEDoS (also known as micro OLED) has better visual performance than TFT LCD and AMOLED, but its high cost limits its market share. So far, there are only a handful of his XR devices with OLEDoS, but due to their high-end positioning, they have shipped very little. Apple is said to adopt his OLEDoS in his commercial-oriented MR device, which will be released in 2023. Apple’s adoption should see a significant increase in shipments of his OLEDoS displays in 2023 and his 2024. High-definition OLEDoS in particular can bring the price down significantly to a level most brands can afford.
When it comes to AR applications such as smart glasses, AR device displays are silicon-based. OLEDoS is currently the mainstream, but the brightness of OLEDoS does not meet the requirements for outdoor use of AR devices. This is a big opportunity known as MicroLED On His Silicon or LEDoS. Omdia predicts that LEDoS technology will mature in his 3-5 years, and that LEDoS will eventually become mainstream in the AR application market, he said.
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