This report identifies key demand-side trends in the AR/VR/XR services space to assist enterprises in their AR/VR/XR journeys. It provides an overview of key trends and enterprise challenges that Avasant considers important to highlight in the AR/VR/XR services space.

Why read this Market Insights?

Enterprise adoption of AR/VR/XR technologies had initially slowed due to high costs, lack of practical applications, and poor graphics quality. However, the integration of generative AI, spatial computing, and wearable technology with AR/VR/XR has significantly enhanced immersion, making these solutions more intuitive and practical for applications such as training, remote assistance, and product visualization. Over the next 12 months, enterprises will increase their digital spend on AR/VR/XR, accelerating its adoption to enable more immersive, human-like digital experiences. This will enhance collaboration and training.

The AR/VR/XR Services 2025 Market Insights™ aids enterprises in identifying important market trends and challenges for their AR/VR/XR transformation projects.

Methodology

The industry insights and recommendations presented are based on our ongoing interactions with enterprise CXOs and other key executives, targeted discussions with service providers, subject matter experts, and Avasant Fellows, along with lessons learned from consulting engagements.

Table of contents

About the report (Page 3)

Executive summary (Pages 4–7)  

• • Defining AR/VR/XR services
  • Key enterprise AR/VR/XR services trends shaping the market
  • Avasant recognizes 14 top-tier providers supporting the enterprise adoption of AR/VR/XR

Demand-side trends (Pages 8-15)

• • Enterprise AR/VR/XR investments surge, driven by photorealistic experiences, Gen AI-backed hyper-personalization, and seamless accessibility across everyday devices.
  • Neurological inputs, advanced gestures, and Gen AI will drive the next evolution of human-machine interaction, making it more seamless, intuitive, and lifelike.
  • Manufacturing, retail and CPG, and high-tech industries are leading the adoption of AR/VR/XR services.
  • These industries are driven by the need for remote assistance, immersive training, and enhanced customer experiences.
  • Headset-based AR/VR adoption continues to decline due to high costs and user discomfort, while web-based projects rise due to greater accessibility and scalability.
  • Tech firms are innovating with advanced displays and interfaces to reignite enterprise interest in wearables.
  • Enterprises are moving toward the metaverse from traditional AR/VR for enhanced visualization, security, and life like  experiences.

Key contacts (Page 16)

Read the Research Byte based on this report.  Please refer to Avasant’s AR/VR/XR Services 2025 RadarView™ for detailed insights on the service providers and supply-side trends.