Virtual Training and Simulation Market Overview:
Virtual Training and Simulation Market is expected to garner $329 billion by 2022, registering a CAGR of 14.6% during the forecast period 2016 - 2022. The Market is a method in which a simulated virtual environment is created to test certain abilities of a trainee that can contribute to the learning process.
It is used in wide area of applications, including in flight simulation, simulation-based gaming, serious games, healthcare training, energy, transportation training, e-learning, military & navy, digital manufacturing, and others. Virtual training and simulation tools comprise hardware and software. Hardware components include headsets, combat tools, hand gloves, hearing aids, mannequins, gaming consoles, and others, while software components are programs or set of instructions that are used to perform the activities in the system.
Top impacting factors
Increase in awareness about virtual training and simulation
Increase in awareness about the technology of virtual training and simulation has positively driven the market growth. This technology is being used in various fields such as civil aviation, military, e-learning, serious gaming, simulation-based gaming, entertainment, digital manufacturing, and healthcare, owing to its advantages including ease handling & understanding, offers virtual environment as close as real one, and efficiency of training.
Cost-effective solutions of virtual training and simulation technology
Virtual training and simulation technology provide cost-effective solutions for wide range of applications such as pilot training; soldier training; e-learning; simulation-based gaming; and training of nurses, doctors, and other medical professionals. It is rather difficult and costly to buy an aircraft to train pilots, for which virtual training and simulation tools offer perfect solutions in which they create virtual environment with similar hurdles a pilot may face in real world.
Increase in defense, healthcare, and education expenditure
Over the past few years, increase in defense, healthcare, and education expenditure is seen especially in Asia-Pacific, LAMEA, and European countries and is expected to continue during the forecast period. With increase in expenditure, sales of related equipment in defense, healthcare, and education is projected to increase, including for virtual training and simulation equipment.
Top winning strategies
The above pie chart shows the percentage share of adoption of strategies by various players in the virtual training and simulation market. Key players operating in the market use numerous strategies to strengthen their market presence, including partnerships, collaborations, product launches, agreements, and acquisitions. Product launch of novel solutions was the most adopted strategy among the prominent players, widening their product portfolio and increasing their market presence. It intended to provide enhanced features, accounting for 50% of the total strategy adoption, followed by agreements, contributing 18.8% of the total share.
In June 2016, CAE Inc. launched its Airbus A350 CAE 7000XR series full-flight simulator in Brazil specifically to satisfy pilot training needs in Latin America, increasing its customer base and market presence.
In December 2015, CAE Inc. introduced the CAE Blue Phantom Musculoskeletal (MSK)training model for ultrasound-guided evaluation and procedures for knee conditions and injuries. This cost-effective training model is anticipated to increase the customer base for CAE in healthcare industry.
The world virtual training and simulation market is segmented based on components, end user, and geography. The components segment is further sub-segmented into hardware and software. Based on end users, the market is segmented into defense & security, civil aviation, education, entertainment, and others (digital manufacturing and healthcare). The education segment is further bifurcated into e-learning and game-based learning. Geographically, the market is analyzed across four major regions, namely, North America, Europe, Asia-Pacific, and LAMEA.
The key trends in North America market are as follows:
North America virtual training and simulation market
North America is one of the developed and leading regions in the world and is aggressive in technological advancements and its adoption. Large number of manufacturers in North America are active in development of simulation and virtual training technology. The United States Army Simulation and Training Technology Center (STTC) is a provider of applied research to develop simulation technologies to United States Department of Defense and United States Department of Homeland Security. The Canada First Defence Strategy is an initiative to offer the Canadian Forces (CF) with a program the Operational Training System Provider (OTSP) developed by CAE, Inc., which delivers comprehensive aircrew training services. Major leading companies include CAE, Inc., Lockheed Martin Global Training and Logistics, SAAB Training USA LLC, and others who have developed a variety of tools and technologies applicable in numerous fields such as military, civil aviation, healthcare, education, gaming, and others.
- An in-depth analysis of the world virtual training and simulation market is provided along with the market dynamics that would prove crucial in understanding the market.
- Quantitative analysis of the current market and future estimations from 2014 to 2022 is anticipated to assist to design business strategies to capitalize on the prevailing market opportunities.
- Porters Five Forces analysis examines the competitive structure of the world virtual training and simulation industry and also provides a clear understanding of the factors that influence the market entry and market expansion.
- A detailed analysis of geographic segments offers identification of most profitable segments to capitalize on.
- A comprehensive analysis of market trends, sub-segments, and key revenue pockets is provided.
- Analysis of the key leaders and their business strategies is projected to assist stakeholders to make more informed business decisions.
- A detailed company profile analysis that showcases major developments such as mergers & acquisitions, expansions, and new product launch is provided.
VIRTUAL TRAINING AND SIMULATION MARKETKEY SEGMENTS
By End User
- Defense and Security
- Civil Aviation
- Game-Based Learning
- Others (Digital Manufacturing and Healthcare)
- North America
- Rest of Europe
- Rest of Asia-Pacific
- Latin America
- Middle East
- CAE Inc.
- L-3 Link Simulation & Training
- Cubic Corporation
- ON24, Inc.
- QinetiQ Group plc
- BAE Systems plc
- Laerdal Medical Corporation
- Kratos Defense & Security Solutions, Inc.
- The DiSTI Corporation
- ANSYS, Inc.
Companies mentioned in the report include:
The Boeing Company, Geomagic, Inc., SAAB Solutions, Heartwood, Inc., Microsoft Corporation, Oculus Rift, Tata Consultancy Services, Lockheed Martin Global Training and Logistics, VSTEP B.V., Fujitsu Limited, Digital Process Ltd, CTC Aviation Group, TeraLogics, LLC, PULAU Corporation, Lloyds Register (LR) collaborated, Paramount Group, Paramount Group., CoreAVI (Core Avionics & Industrial), Inc., MOBICA, and TE Connectivity (TE).