Alexandra Vidger
In 2018, $2.8 billion was invested in virtual and augmented reality ("xR") technology startups, 300% more than 2014.
San Francisco, March 11, 2019 -- Greenlights Insights’ 2018 VR/AR Year-End Funding Review reveals that growth in virtual and augmented reality ("xR") investments and M&A deals grew to record levels in 2018, with most deals for early stage funding. Since 2014, total annual deal value has increased nearly 300%, though the number of deals declined by about a third since last year. The United States hosted the largest number of deals, followed by China and the United Kingdom.
Investors were most eager to fund enterprise and vertical solutions, as these deals rose sharply versus 2017, accounting for half of all deals in 2018. The report also describes the major players. In 2018, Greenlight found that more investments were made by traditional VCs, indicating greater confidence in the xR sector. It also finds that Intel and Facebook remain the top acquirers of VR/AR startups by number of completed transactions.
Clifton Dawson, Greenlight’s CEO and lead analyst on this report, said, “These findings show that the xR industry is healthy, and headed in the right direction. We have seen strong growth and good results in entertainment, as well as enterprise applications. We expect 2019 to show continued robust growth as new, better technologies come on line and more examples of positive ROI are presented in a variety of industries.”
The 2018 VR/AR Year-End Funding Review is available to Greenlight Insights’ subscribers and may be purchased as a stand-alone report. For more information, contact your account executive, or Greenlight insights at 415 854-3282, hello@greenlightinsights.com, or visit www.greenlightinsights.com.