Construction Extended Reality Industry Analysis Report 2025: Key Trends, Drivers, and Forecast Insights

Construction Extended Reality Global Market Report 2025

The Business Research Company's Construction Extended Reality Global Market Report 2025 – Market Size, Trends, And Global Forecast 2025-2034

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Construction Extended Reality Market Growth Forecast: What To Expect By 2025?
The size of the construction extended reality market has seen a significant expansion in the past few years. The projected growth spans from $5.34 billion in 2024 to an estimated $6.63 billion in 2025, increasing at a compound annual growth rate (CAGR) of 24.1%. Factors that contribute to this substantial growth during the historic period include a surge in demand for remote site inspections, an escalating need for immersive design visualization, an increased requirement for real-time collaboration across different regions, an enhanced use of extended reality in post-construction facility management, and a growing application of extended reality for clash detection in the construction sector.

The size of the construction extended reality market is set to experience substantial expansion in the coming years, predicted to reach $15.54 billion in 2029, exhibiting a compound annual growth rate (CAGR) of 23.7%. Factors contributing to this upsurge during the projected period include an escalation in global infrastructure development activities, a surge in the implementation of digital transformation in the construction sector, broadening smart cities initiatives, increased demand for efficient and eco-friendly construction solutions, and governmental policies that encourage digital construction. Future trends anticipated for the forecast period encompass enhancement in XR hardware performance, pioneering developments in 5G for instantaneous data streaming, collaboration with building information modeling, heightened realism in virtual and augmented simulations, and incorporation of cloud computing for adaptable XR solutions.

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What Are Key Factors Driving The Demand In The Global Construction Extended Reality Market?
The escalation in infrastructure projects is anticipated to catalyze the expansion of the construction extended reality market. These projects entail large-scale development centered on the building or improvement of essential systems, such as roads, bridges, utilities, and telecommunications networks — these are crucial for a region's economic growth and daily operations. Rapid urbanization fuels this increase in infrastructure projects, intensifying the demand for better transportation, housing, and utility services to sustain growing urban populations. Construction extended reality aids infrastructure projects via immersive design visualization, enabling stakeholders to identify and address design issues from the onset, hence reducing expensive errors and project holdups. For example, in December 2024, Homes England, a UK government agency, reported the completion of about 10,434 housing units in the first half of 2024–2025, marking a 32% rise compared to the 7,929 affordable homes completed over the same period in 2023–2024. Consequently, the surge in infrastructure projects is fueling the growth of the construction extended reality market.

Who Are The Leading Players In The Construction Extended Reality Market?
Major players in the Construction Extended Reality Global Market Report 2025 include:
• Microsoft Corporation
• Sony Group Corporation
• Lenovo Group Limited
• Accenture Plc
• NVIDIA Corporation
• Seiko Epson Corporation
• Autodesk Inc.
• Trimble Inc.
• PTC Inc.
• Unity Technologies

What Are Some Emerging Trends In The Construction Extended Reality Market?
Prominent businesses in the realm of construction extended reality are emphasizing tactical partnerships to gain entry into fresh markets and clientele. These partnerships represent organized agreements aimed at meeting mutual long-term goals through the consolidation of respective resources, knowledge, and abilities. For instance, in January 2025, the American investment firm, Capital Group, forged a partnership with FORCE Technology, a tech advisory and service company based in Denmark. They collaborated to introduce the extended reality (XR) full mission bridge simulator, known as SimFlex. The unique training platform marries actual shipping equipment with top-tier virtual bridge surroundings, thereby heightening the sense of reality and engagement. It incorporates modernized navigation systems supplied by FURUNO Hellas S.A., such as ECDIS, autopilot, and radar systems, all within a fully-immersed green screen environment. A distinctive feature of this is the ability to unite international teams in common training situations, fostering cooperation despite geographical separation. Furthermore, it upholds environmentally friendly norms by diminishing the energy usage and the demand for in-person travel.

Analysis Of Major Segments Driving The Construction Extended Reality Market Growth
The construction extended reality market covered in this report is segmented –
1) By Device Type: Augmented Reality (AR), Virtual Reality (VR), Mixed Reality (MR)
2) By Application: Design And Planning, Project Management, Training And Simulation, Maintenance And Operations, Other Applications
3) By End-User: Architecture, Engineering, And Construction (AEC) Firms, Real Estate Developers, Contractors And Builders, Government And Public Infrastructure Agencies, Other End-Users

Subsegments:
1) By Augmented Reality (AR): Smart Glasses, Head-Mounted Displays (HMDs), Handheld Devices, Heads-Up Displays (HUDs)
2) By Virtual Reality (VR): Head-Mounted Displays (HMDs), Gesture-Tracking Devices, Data Gloves, Virtual Projectors And Cave Automatic Virtual Environment Systems
3) By Mixed Reality (MR): Head-Mounted Displays (HMDs), Smart Glasses, Mixed Realty Controllers, Spatial Mapping Devices

View the full construction extended reality market report:
https://www.thebusinessresearchcompany.com/report/construction-extended-reality-global-market-report

Which Region Is Expected To Lead The Construction Extended Reality Market By 2025?
North America was the largest region in the construction extended reality market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the construction extended reality market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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