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The domestic shipment volume of head-mounted displays (HMDs) for the extended reality (XR) (VR/AR/MR) market in Japan was projected to reach ***units in 2025. Smart glasses were projected to reach a volume of * units.

VR devices: visual portals to virtual reality

The displays of VR devices contribute to the immersion into virtual spaces and the simulation of genuine interaction, which can be used, among other things, for entertainment purposes, such as video games and metaverse projects. Devices included, the metaverse market in Japan is expected to grow to over *** trillion Japanese yen by fiscal year 2028. VR devices can also be helpful when direct human interaction is otherwise impossible or non-desirable in the actual world. The COVID-19 pandemic led to a labor shortage in various industries that increased the need for employee training, which in turn encouraged the adoption of VR devices as professional tools.

AR and MR devices: adding virtual spice to reality

Augmented reality (AR) overlays virtual elements on users' perception, like a mask or filter, while mixed reality (MR) merges elements of the real and the virtual. With simple yet cleverly implemented AR, the mobile game "Pokémon GO" achieved a strong impact worldwide after its release in 2016. In Japan, the app still earns millions of dollars on a monthly basis. As technology progresses and devices become more affordable and portable, HMDs and smart glasses can offer new forms of experiences that are not dependent on other devices commonly used today, such as computers, smartphones, and gaming consoles.