Global Augmented Reality Gaming Market to Reach USD 141.7 Billion by 2033 | IMARC Group

Global Augmented Reality Gaming Market Statistics, Outlook and Regional Analysis 2025-2033

The global augmented reality gaming market size was valued at USD 14.2 Billion in 2024, and it is expected to reach USD 141.7 Billion by 2033, exhibiting a growth rate (CAGR) of 25.88% from 2025 to 2033.

There has been a significant increase in the number of smartphone users. For instance, according to Statista, between 2024 and 2029, the global number of smartphone users is expected to increase by nearly 1.7 billion users (+37.98%). Similarly, the number of smartphone users in India is expected to exceed one billion by 2023. It is anticipated that by 2040, India will have 1.55 billion smartphone users. The rise in smartphone users has motivated developers to create more AR-specific games, knowing they can reach a broader audience. Games like Pokémon GO, Harry Potter: Wizards Unite, and Jurassic World Alive have set the standard, showcasing the potential of AR gaming on smartphones and inspiring more development in the space, further propelling the market's growth. 

Additionally, the rising adoption of 5G networks is also one of the key factors escalating the market's demand. For instance, according to Statista, in 2022, nearly one tenth of all connections worldwide used 5G technology, with this share set to surpass one half by the end of the decade. Also, by 2030, 5G connections are expected to make up 95% of all mobile connections in South Korea, Canada, and the United States. Meanwhile, in China, 5G connections are predicted to account for 88% of total mobile connections. 5G technology provides the high-speed, low-latency connectivity required for seamless AR gaming experiences, particularly for multiplayer and cloud-based AR games. With 5G rollouts expanding globally, players can access high-quality, real-time AR gaming, driving market growth. Furthermore, AI and ML integration in AR games enables more responsive and adaptive gameplay, creating personalized and realistic interactions. For instance, in May 2024, Meta planned to include more generative AI technology into games, particularly VR, AR, and mixed reality games. It seeks to create "new consumer experiences" using new sorts of gameplay powered by generative AI, such as games that "change every time you play them" and have "non-deterministic" courses. These advancements improve AR game quality and user engagement, which attracts more users to the platform.

Global Augmented Reality Gaming Market Statistics, By Region

The market research report has also provided a comprehensive analysis of all the major regional markets, which include North America, Asia Pacific, Europe, the Middle East and Africa, and Latin America.According to the report, North America accounted for the largest market share. The region has a high penetration of smartphones and tablets capable of supporting AR applications, providing a large base of potential AR gamers. Advanced devices with powerful processing capabilities and improved cameras enable users to experience high-quality AR games directly on their smartphones without additional hardware.

North America Augmented Reality Gaming Market Trends:

There has been a significant surge in the adoption of 5G networks across the region. For instance, according to Statista, in 2022, 5G technology was used by about 45% of all mobile connections in the United States, up from 15 percent the previous year. By 2030, it is expected that more than nine out of ten connections will be 5G. The rollout of 5G networks supports AR gaming by enabling faster data transfer speeds and lower latency, which are essential for real-time, location-based AR experiences. 5G allows AR games to run smoothly, enhancing user experience and encouraging adoption.

Asia Pacific Augmented Reality Gaming Market Trends:

The increasing number of smartphone users in the region has made mobile platforms the primary medium for AR gaming. For instance, according to Statista, the number of smartphone users in India was expected to exceed one billion by 2023. It is anticipated that by 2040, India would have nearly 1.55 billion smartphone users. This is further escalating the region’s growth.

Europe Augmented Reality Gaming Market Trends:

The adoption of wearable devices in the region, such as AR glasses and headsets, is enhancing the AR gaming experience. For instance, in October 2024, Snap launched its new fifth generation AR glasses across six European countries: Germany, Netherlands, Italy, France, Austria, and Spain. These devices provide more immersive gameplay, attracting both developers and consumers, thereby driving the market's growth.

Middle East and Africa Augmented Reality Gaming Market Trends:

The MEA region boasts a large, young population with a strong interest in gaming and technology. This demographic is more inclined to adopt innovative gaming formats, including AR, contributing to market expansion. Apart from this, governments in the region are investing in digital infrastructure and promoting technological innovation. For instance, Saudi Arabia's Vision 2030 includes plans to develop the digital entertainment sector, which encompasses AR gaming.

Latin America Augmented Reality Gaming Market Trends:

The ongoing development of internet infrastructure, including the rollout of 4G and 5G networks in the region, enhances the online gaming experience. For instance, according to Statista, As of September 2024, two 5G networks were deployed in Mexico, owned by AT&T and Telcel's Radiomovil Dipsa. Also, improved connectivity allows for seamless AR gaming, encouraging more users to participate. In line with this, Latin America has a vibrant and expanding gaming community. The region's youthful demographic is increasingly engaging with innovative gaming formats, including AR, contributing to market expansion.

 Top Companies Leading in the Augmented Reality Gaming Industry

Some of the leading augmented reality gaming market companies include Augmented Pixels, Aurasma, Blippar, Catchoom, Infinity Augmented Reality, Metaio, Qualcomm, Total Immersion, VividWorks, Wikitude, and Zappar, among many others. For instance, in May 2024, Blippar, an augmented reality (AR) technology and content platform, launched Blippbuilder Mobile (web), a no-code augmented reality platform that allows creators to create and share experiences on the go by bringing AR design and sharing capabilities to any mobile device.

Global Augmented Reality Gaming Market Segmentation Coverage

• On the basis of the component, the market has been bifurcated into software and hardware. This segment is expanding rapidly as game developers strive to create increasingly realistic and engaging AR experiences.
• Based on the technology, the market is categorized into RFID, GPS, mobile tracking, and others. The market is highly competitive, with tech giants and emerging startups continuously innovating and launching new games to captivate users.
• On the basis of the device, the market has been divided into mobiles, HMDs, and smart glasses. Among these, HMDs account for the largest market share. Game developers are creating more games specifically optimized for HMD platforms, including rich graphics and interactive features that take advantage of HMD capabilities, further acting as a growth-inducing factor.
• Based on the game type, the market is bifurcated into racing games, adventure games, fighting games, shooting games, mystery thriller games, puzzle games, science fiction games, and others. The inflating need for creating a view for the players with intense video, graphics and sound by using a device-camera is fueling the growth of this segment.