Navigating the landscape of innovations can be challenging, especially when it’s hard to identify which trends offer real value to your business. Focusing on technologies that have consistently proven their value is a smart strategy, particularly with augmented reality, which continues to develop and improve.
Advancements in mobile device hardware and the availability of new wearable AR headsets make bringing AR products to market easier than ever. With growing consumer confidence in AR, now is an ideal time to explore its emerging trends for 2025.
Augmented Reality Technology: The Past, Present and Future
In 1901, author L. Frank Baum imagined an electronically-powered display that would overlay information into the real world, called a “character marker”. Now, Meta and Apple display characters in the real world using passthrough cameras on their flagship HMDs and 3D rendering.
Augmented reality (AR) is an immersive digital experience that enriches the real world by overlaying computer-generated content onto physical objects. Using AR software and hardware, it creates an extended reality for application users.
Augmented reality isn’t as novel and experimental as it once was years ago. Now that the technology has entered the mainstream, this makes it even more important for brands to catch up and understand its value before they fall behind the competition.
Skyquestt reports that from a starting value of $32.1 billion, the AR market size is expected to climb at a CAGR of 33.5%. Predictions indicate it will be worth more than $300 billion by the 2030s.
AR Trend #1: Artificial Intelligence Powers AR Technologies
AI has historically been used in AR for scene understanding. For example, object and surface recognition are critical for applications like Ikea’s AR room scanning app. This allows AR programs to recognize objects in the real world and overlay 3D assets over top of them or provide context to the user.
Another important example is human scanning; AI and AR are being used to recreate human faces and bodies. One notable example of this is Apple’s Vision Pro’s digital “Persona” feature that scans your face for use in FaceTime calls while wearing the headset.
Text recognition is something that’s also entered the mainstream. The Google Translate app lets you point your phone at text in any language and it can display a translated text overlay in real time.
Case Study: Combining AI and AR Technologies for Device Setup & Troubleshooting
Here at MobiDev, we sought out to create a product setup application to demonstrate how AI and AR could help make setting up an Internet router easier. With a smartphone camera, users see 3D directions for setting up the router. The app can also help diagnose simple issues with 3D visualizations in augmented reality. This proof-of-concept works via the following features:
- Detecting the router itself
- Identifying which cables need to be connected
- Understanding the lights on the front of the router to determine the device’s status
This application takes a step beyond other similar AR remote assistance applications by reducing the amount of human interaction needed.
Future of AI in AR
There are hints of a more generative future for AI in AR. Spline is a tool used to generate 3D objects using natural language. It could make it possible to develop 3D objects, textures, and animations used for AR experiences entirely by simple spoken commands.
Trend #2: Mobile Augmented Reality Expands From Games to Business Tools
Mobile devices remain the dominant platform for augmented reality applications among users. This applies not only to consumers, but to business use cases as well. Businesses utilize mobile AR for products like remote assistance, training, product visualization, and other applications.
According to Statista, the number of active mobile AR devices is continuing to rise, with predictions that by 2024, we will see 1.7 billion mobile AR users worldwide.
ARCore 1.45.0
ARCore, Google’s augmented reality software development kit for Android devices, has seen a few iterative updates since last year. The latest version is 1.45.0, which introduces support for developers to enable the device’s flashlight. This can enable higher-quality AR experiences in dark environments.
Back in May, ARCore 1.43.0 enabled the Places API in Geospatial Creator migration. The Places API is a component of Google Maps used to extract useful information about places names, addresses, and categories for use in AR applications. So, if a user points their camera at a landmark, the Places API can supply your application with the information it needs to overlay contextual information about the landmark.
There have also been a few other iterative releases, bug fixes, and other improvements to ARCore that have happened over the past year.
ARKit
ARKit has also seen a few iterative updates recently, but ARKit 6 is still the active version. There isn’t much word about what ARKit 7 might entail.
ARKit 6, which was released in October of 2023, enables developers to utilize several new features, such as:
- 4K Video: capture high-resolution videos of AR experiences for professional video editing and social media apps.
- Location Anchors: new location anchors for AR experiences include Montreal, Sydney, Singapore, and Tokyo.
- Instant AR Placement: LiDAR scanner enables quick and seamless placement of AR objects without a lengthy scanning process.
- Enhanced Motion Capture: human pose estimation algorithms can enable motion capture experiences.
- Scene Geometry: object occlusion and real-world physics for virtual objects are made possible with a topological map of the scanned scene. With RoomPlan, users can quickly create floor plans of structures as well. This is critical for AR measurement applications.
- Simultaneous Front and Back Camera: it’s possible that users can control content seen with the rear camera by moving their face.
Case Study:
AR Solution for Home RenovationIn June 2024, Apple improved ARKit with the ability to detect objects in the real world and attach content to those objects with the ObjectTrackingProvider. This is a component of ARKit that helps the device track real-world objects using references. Developers can set the parameters for how these capabilities should behave as well. In addition, the June update allows applications to utilize the RoomTracking Provider to understand the shape and size of the room that people are in and detect when the device has moved to another room.
ARCore vs ARKit in 2024
Since not much has changed in either framework, not much has changed since last year when it comes to comparing the two frameworks against each other. Both are comparable SDKs that work well with their ecosystem. Neither exceeds the capabilities of the other in any category. Here’s a table showing some of the differences between them.
You should also consider that not all devices support the hardware needed for many of the more powerful features of each platform. For example, many of the most advanced ARKit features require the iPhone LiDAR scanner. The LiDAR scanner is only present on the Pro and Pro Max variants of the iPhone. This has been the trend since the release of the iPhone 12 Pro and Pro Max in 2020 and has continued with the iPhone 16 Pro and Pro Max.
Similarly, the hardware differences across many Android phones mean that the most powerful ARCore features can only be used on some newer, high-end devices. That means you may need to consider that not all users will have the same experience with your ARCore application.
5G Connectivity and Mobile AR
Augmented reality is a powerful technology, but it can be limited by connectivity. If your experience depends on a cloud server for map data, 3D models, and other processing, then a strong Internet connection is needed. This means that many experiences have been limited to strong Wi-Fi networks in the past. However, 5G connectivity has improved significantly over the past few years.
This means that developers have more freedom to create AR experiences that users may find more helpful outside of their own homes. This may apply to outdoor AR-based navigation experiences and tourism applications with AR informational popups.
AR Trend #3: WebAR Helps to Build More Accessible Experiences
The differences in mobile AR hardware mean that it can be challenging to create augmented reality experiences that can be used on all devices. WebAR can help level the playing field so long as developers are willing to sacrifice ambitions for innovative AR features.
WebAR may lack the same powerful functionality of native AR applications, but it makes up for this with its accessibility. Mobile devices and even desktops with webcams can run basic WebAR experiences. More importantly, users don’t need to install an app — all they have to do is visit the webpage through a link or via a QR code.
8th Wall recently introduced new features to Niantic Studio, one of the most popular WebAR development platforms. In August, they added Gaussian splatting support, allowing developers to have more freedom in making realistic, 3D environments. This allows you to capture a real-world environment with your smartphone to be viewed in WebAR.
WebAR experiences still are best for simple tasks like marketing demos, basic virtual try-on, product demonstrations, and other simple tasks. However, more complex games, high fidelity projects, and other applications that need more power are better suited as native mobile apps.
AR Trend #4: Cross-Platform Augmented Reality Applications Continue to Evolve
Most AR-capable smartphones are Android devices, with 70.71% of the mobile OS market share in Q1 2024 belonging to Android.
However, despite this gap, there are still great strategic reasons why you would want to target both audiences. For one, a cross-platform app experience will enable you to reach a much wider audience than just Android users. What may be more important are demographics — iOS users are a higher spending customer base. It also depends on what market you’re targeting. For example, iOS has a strong market presence in the United States.
Cross-platform applications may allow you to reach a wider audience, but you should remember that they still have more limited capabilities. If your app isn’t that complicated, or if you’re offering a simpler AR experience, a cross-platform application may be perfect for you. If you need to offer high fidelity features and need more power, it’s worth considering creating two separate native applications, one for Android and one for iOS.
AR Trend #5: Wearable Augmented Reality Experiences Get More Common
The Apple Vision Pro is nearing its first anniversary since launch, but so far it has only managed to prove itself as a proof of concept. Market tracker IDC in July 2024 reported that Apple had yet to sell 100,000 units of the Vision Pro.
Thankfully, developing for the Vision Pro doesn’t depart too far from mobile AR development for iPhones. The Vision Pro does utilize the visionOS SDK, but developers can utilize familiar Apple tools such as SwiftUI, RealityKit, and ARKit. Existing applications can also be adjusted to work well with visionOS.
Meta Quest Devices
Apple isn’t the only player in this space. Meta has cornered the market with highly affordable AR-capable devices like the Meta Quest 3 and Quest Pro. These Android-powered headsets have comparable AR capabilities. Both can use passthrough to interact with screens and apps while still being able to see the real world. There are also several immersive AR applications such as:
- PianoVision: learn to play the piano in augmented reality using hand tracking
- Demeo: a dungeon crawler mixed reality game where you can see the game board in AR
- Movies and TV: watch video content in AR windows on your headset
Many online write that they’re disappointed in how few mixed reality applications there are for the Quest lineup. However, the few that do exist demonstrate that these apps are possible to create. As a result, mixed reality games for the Quest 3 and Quest Pro are an opportunity for app developers to meet that demand.
AR Trend #6: AR Enhances Indoor and Outdoor Navigation
A two-dimensional map isn’t the ideal way for humans to navigate. To get a bit closer to something our bodies are more instinctually comfortable with, we have to try something else. Enter AR navigation. Instead of looking down at a 2D map, 3D directions appear on your mobile phone screen or even a head-mounted display. The concept is simple, and in many cases is achievable, but it comes at the cost of a lot of nuance. No one method of achieving AR navigation works in every situation. Let’s explore some of those methods further.
Indoor Navigation Powered by Augmented Reality
Augmented reality indoor navigation is certainly achievable, but it continues to be limited by several constraints. Precision is the most critical issue. Although indoor navigation systems, when properly implemented, can be quite accurate in terms of helping the user find their way from department or aisle to another, it’s not precise enough to help them find a specific item on a shelf.
These are the three possible approaches for implementing indoor navigation:
- Beacons: powered by Bluetooth LE, Wi-Fi RTT, or Ultra-wide band (UWB)
- Markers: visual markers identified by a device with an AR framework
- VPS (visual positioning system): estimating the location using a pre-trained AI model and image from the camera
Our team at MobiDev demonstrated AR indoor navigation with visual markers at a corporate campus with an ARKit device. Marker-based AR indoor navigation is cheaper to implement than beacons but may be subject to some problems like obstruction of markers or misconfiguration. However, the choice of the best approach heavily depends on the specifics of your project.
Outdoor Augmented Reality Navigation
With a clear view of the sky, more options are available to ensure high accuracy and precision positioning and navigation. However, GPS isn’t the only technology that can be effective in this space. In situations where GPS isn’t as effective, such as beneath tall city buildings, other technologies can help fill in the gaps. These might be beacons or visual positioning systems. Google and Apple have both continued to advance their VPS systems in their respective mapping APIs for AR platforms. However, visibility conditions can vary, meaning that these systems may not work as expected in foggy or rainy conditions.
AR Trend #7: Augmented Reality in Marketing
According to Meta, 90% of the brands that utilized augmented reality advertising techniques saw greater brand awareness following a campaign compared to non-AR focused campaigns. These AR-enhanced campaigns were also 59% cheaper on average.
There are a few ways to utilize augmented reality in your marketing campaigns. Here are some ideas:
- Business cards: scan a QR code on a business card with your smartphone to open a webpage with a WebAR experience that demonstrates your company’s expertise. You can check how such a solution works here.
- User manuals: you could create an interactive AR user guide for appliances like coffee makers. See our case study as an example.
- Product demonstrations: virtual fitting rooms, furniture, seeing the size of vehicles, the sky is the limit for AR product demos
Case Study: AR Marketing Campaign
Our team at MobiDev collaborated with a travel company to create an AR-based application for marketing purposes. In addition to contextual information from points of interest in the camera view, the app can also provide ticket booking functionality. This allowed the client to gain a lot of media attention, strengthen the brand, and turn it into new business opportunities.
AR Trend #8: Augmented Reality in Healthcare
With head-mounted displays, the door of possibility opens for hands-free interfaces. There is demand for augmented reality in the healthcare sector for several applications, such as:
- Surgical aid: hands-free overlays for surgeons with real-time data and organ models can help enhance surgical procedures.
- Training: medical students can simulate complex surgeries with 3D anatomical models without cadavers.
- Vein visualization: HMDs can help display vein outlines on patients’ skin, making IV insertion less painful for patients.
- Therapy and rehabilitation: AR experiences can enhance physical therapy regimens, and AR can be used for certain forms of therapy like exposure therapy for PTSD patients.
Google’s Augmented Reality Microscope (ARM) demonstrates that augmented reality and machine learning technologies can be used to display digital overlays into an optical microscope to enhance cancer detection and classification for medical professionals. Although the project is open source, models are only available on request. The project demonstrates that augmented reality has enormous potential as an aid in disease detection.
AR Trend #9: Augmented Reality in Retail & eCommerce
Augmented reality at one point was a novel, experimental, and unfamiliar technology for the retail industry. However, virtual fitting room applications have become widespread, with brands adopting them directly into their flagship shopping applications as a feature. Physical stores can also benefit from this technology by installing smart mirrors at showrooms, enabling customers to visualize how various items will look on them without the need for a fitting room. This exemplifies effective smart design in business.
Although the hype and novelty of these applications has worn off, virtual try on is now a critical part of the ecommerce experience for shoppers. A few years ago, a McKinsey & Company survey revealed that 48% of consumers were most interested in augmented reality shopping in the next five years. That interest has been realized thanks to AR shopping features provided by retailers like Ikea, Target, and more.
They aren’t the only ones. According to Retail Insight Network, over 53,000 patents related to virtual try-on have been filed by retailers over the past three years. To keep up with the competition, retailers are going to need to think about where they can apply AR virtual try-on solutions for their customers.
AR Trend #10: Augmented Reality in Manufacturing
Manufacturing stands to benefit from augmented reality technologies, with applications such as:
- Training: simulate complex tasks in a safe environment. Digital twins can also be used to enhance simulations.
- Maintenance: AR can help technicians visualize the internal components of machines. It can also make remote assistance calls more interactive, as remote technicians can draw 3D instructions for local workers to see.
- Quality control: visual inspection can be improved by allowing workers to quickly compare assembled parts to an ideal digital model, side by side.
- Safety: 3D representations of hazardous areas can be drawn via HMDs to help workers maintain safe distance or display contextual safety reminders.
However, it’s important to consider some of the challenges in implementing AR technologies into a manufacturing space. How will workers interact with the experience?
If it’s a mobile experience using a touchscreen device, how will they interact with the device if they’re wearing gloves, or if they need their hands free to do something else? The same can be said for head-mounted displays, as hand tracking can be impeded by gloves. Voice commands might also be difficult to accomplish in loud, industrial environments. Workers may be hesitant to adopt AR applications because of these issues.
This doesn’t mean that it’s impossible for AR to benefit the manufacturing sector, it just requires a little more creative thinking. For example, in the case of HMDs, workers may not need to interact with the device at all. Simply looking at certain targets could display non-intrusive contextual information as needed.
AR Trend #11: Augmented Reality in the Automotive Industry
The automotive industry is incorporating several technologies mentioned earlier in this piece. For example:
- Sales: AR experiences are being used to help sell cars, where users can see virtual cars in a real-world environment via mobile apps
- Remote assistance: providing guided assistance and troubleshooting for drivers
- Parking spot detection: highlighting empty parking spots in busy garages. Tesla has incorporated this into their car displays when selecting spots to park in using AI.
- Detecting driver drowsiness: detect drowsy behaviors from drivers and alert them before they fall asleep.
Heads-Up Displays in Cars
Distance Technologies is developing a 3D heads-up display for cars. With full color, the prototype demonstrates how drivers could benefit from seeing non-intrusive information about their driving displayed on their windshield. Some of these features include a speedometer, 3D visualizations, phone calls as well as voice and gesture controls. The prototype requires more development, such as increased brightness, but it is still an impressive look into the future of what’s to come for the automotive industry.
AR Trend #12: The State of the Metaverse and AR Technologies
Social AR is still in demand for some consumers, but we have certainly entered the trough of disillusionment for the metaverse. Brands are focusing on the more basic applications of social AR rather than lofty visions of an interconnected virtual world.
For example, Meta has an open-source technology called Codec Avatars that is designed to help people interact in a digital environment. Since the technology is open source, it could theoretically be utilized on any headset given sufficient integration. Importantly, realistic avatars and face-scanning technologies are empowered by advancing artificial intelligence capabilities.
How to Make the Most Out of AR Trends
All augmented reality trends look exciting but just because a technology is trending doesn’t mean that it will be the most effective solution for your business. You must explore these trends to find the technologies that will work best for you and help you meet your business goals. Not only that, but you need to see if implementing that technology is feasible and meets market needs. So, how can you decide if starting that work is right for your brand?
The best way to get started is to talk to experienced augmented reality consultants. With over 14 years in software development, our team is prepared to help you take your project from concept to launch. The only thing you need to do to get started transforming your idea into reality is to reach out to chat.