The haptic market has an estimated value of $2.6 billion as of 2021. Its products are those created with haptic technology — also known as kinaesthetic communication or 3D touch — and come in either hardware or software form. There are a wide variety of applications for this type of technology, and the list has only broadened in recent years, including AR/VR experiences, high-end military and industry simulation equipment, and out-of-home advertising.
Major players in this market include Texas Instruments (US), Microchip Technologies (US), Immersion (US), Synaptics (US), Precision Microdrives (UK), Johnson Electric (Hong Kong), AAC Technologies (China), and TDK (Japan).
According to the report, the global haptic technology market is projected to experience a decline in 2020, predominantly due to the coronavirus pandemic. “The consumer electronics and automotive supply chains [were] disrupted in March and April 2020 due to the lockdown imposed by various governments and labor shortages in these industries due to travel restriction, which would affect the haptic technology market,” explained the report.
Recovery and Expansion
Nonetheless, the global haptics market should quickly recover in 2021 and go on to grow significantly over the next few years, predicts the report. The industry is expected to expand at a compound annual growth rate (CAGR) of 12% between 2021 and 2026, resulting in an overall 76.9% increase in five years.
This growth will be driven by increased integration of haptic technology into consumer devices, as well as growing demand for the technology for automobile safety applications. Already today, almost all smartphones and tablets are inbuilt with haptics, and the trend is spreading to other devices like smartwatches, wristbands, and gaming consoles. “The role of haptics becomes even more critical as they replace the mechanical buttons to restore the sense of touch. Thus, the increasing adoption of haptics in the latest gaming consoles is expected to drive the growth of the consumer devices application segment,” explains the report.
The Asia-Pacific region is likely to emerge as the largest haptic technology market in the coming years, with new solutions expected to come out of China, Japan, and South Korea. Hardware is projected to be the biggest source of revenue.
Though the industry hasn’t escaped the broad economic fallout of the coronavirus pandemic, haptic technology has so much potential for future innovation that it won’t be held down long. While there are other industries with more explosive growth predicted for the next few years, projections for the haptics market appear fairly reliable as recent trends demonstrate the widespread industry in haptics and the technology’s many possibilities.
About the Author
Jemima is a journalist who enjoys reporting on business, particularly small business and entrepreneurship.