Eye Tracking Market

Global Eye Tracking Market Size (2023 To 2028)

The global eye-tracking market is estimated to grow at a remarkable CAGR of 27.4% during the forecast period. As a result, the market size is anticipated to grow from USD 1.82 billion in 2023 to USD 6.11 billion by 2028.

MARKET DRIVERS:

The growing demand for eye-tracking technology from industries such as healthcare, gaming, advertising and market research majorly drives the eye-tracking market growth. The eye-tracking technology is used to generate insights into human behavior, preferences, and reactions in real time which plays a vital role in these industries. The adoption of these technologies in healthcare technologies has been growing rapidly over the last several years and this technology is being used for medical diagnosis, assistive technology for people with disabilities, and rehabilitation. Likewise, eye tracking is being used for player performance analysis and to improve the user experience in the gaming industry. Eye tracking is being used in the advertising and market research industry to analyze consumer behavior and preferences.

Technological advancements in eye tracking technology boost the growth rate of the market. Recent technological advancements have significantly improved the accuracy, speed, and reliability of eye-tracking systems. In recent years, eye-tracking technologies have been integrated with technological advancements such as AI and ML and this has substantially increased the accuracy of the analysis and interpretation of eye movement data. Likewise, technological advancements have made eye-tracking technologies more accurate, efficient, and cost-effective. The adoption of technological advancements in eye-tracking technologies to improve capabilities is estimated to fuel in the coming years and boost market growth.

The growing adoption of eye tracking in consumer electronics is another key factor fuelling the growth rate of the market. The usage of eye tracking in consumer electronics such as smartphones, laptops, and virtual reality headsets has been on the rise for the last few years and this trend is likely to fuel in the coming years and result favorably in market growth. For instance, eye tracking has been used for the development of various features including gaze-controlled scrolling and facial recognition in smartphones. Likewise, eye-tracking technologies are being used to provide more immersive and interactive experiences in virtual reality handsets.

In addition, the growing awareness regarding the benefits of eye-tracking technologies such as improved user experience, increased productivity, and aid in medical diagnosis across various industries favor the market’s growth rate. Factors such as the growing number of R&D activities by the market participants and academic institutions, increasing usage of eye tracking in assistive technology for people with disabilities, the increasing popularity of esports and rising usage of eye tracking in academic research, particularly in fields such as psychology, neuroscience, and marketing further promote the eye tracking market growth.

MARKET RESTRAINTS:

The high costs associated with eye-tracking technologies are one of the key factors hampering the market growth. Poor awareness among the people regarding the potential benefits of eye tracking and privacy concerns associated with eye-tracking technology further hinder market growth. Technical limitations, such as the need for calibration are another significant obstacle to the growth rate of the eye-tracking market. The availability of alternative technologies such as facial recognition and biometric sensors and their increasing adoption by several organizations impede the market growth.

Impact of COVID-19 on the eye tracking market:

The global eye-tracking market has experienced a mixed impact from the COVID-19 pandemic. On one side, the demand for eye tracking has been accelerated during the COVID-19 pandemic due to the increased demand for remote communication and collaboration technologies. Eye tracking is being used in remote communication and collaboration technologies for remote usability testing, user experience research, and virtual reality applications. During the COVID-19 pandemic, the culture of remote work has been adopted widely and eye tracking is used to monitor user engagement and productivity during virtual meetings and remote collaboration sessions. On the other hand, the disruptions in the global supply chains and decreased consumer spending caused by the COVID-19 pandemic resulted in the reduced number of sales of eye-tracking technology and affected the market growth negatively. Likewise, the COVID-19 pandemic has shown a mixed impact on the global eye-tracking market.

REPORT COVERAGE:

This research report on the global eye tracking market has been segmented and sub-segmented based on the component, product, type, application, vertical, and region.

Eye Tracking Market - By Component:

• Hardware
• Software

Based on components, the hardware segment had the largest share of the worldwide market in 2022 and is expected to witness a prominent CAGR during the forecast period. Increasing demand for eye tracking technology from industries including healthcare, gaming and automotive to improve patient care, enhance user experiences, and develop safer and more efficient vehicles is one of the major factors propelling the segmental growth. Technological advancements in eye tracking hardware, such as the development of smaller, more accurate sensors and cameras, rapid adoption of eye tracking technology in consumer electronics and rising investments for the R&D of eye tracking hardware by market participants further boost the growth rate of the segment.

The software segment accounted for a considerable share of the global market in 2022 and is expected to grow at a healthy CAGR during the forecast period. The segmental growth is majorly driven by the rapid adoption of eye-tracking technology in market research and advertising, increasing demand for eye tracking software in healthcare, and technological advancements in eye tracking software such as the development of machine learning algorithms and predictive analytics. In addition, the rising awareness and adoption of eye tracking technology in academic research in which software is used to study human behavior and cognitive processes and the growing demand for eye tracking software in virtual and augmented reality applications further boost the segmental growth.

Eye Tracking Market Analysis – By Product Type:

• Remote
• Mobile

Based on the product type, the remote eye tracking segment is estimated to grow at the fastest CAGR during the forecast period. The growing adoption of cloud computing in eye tracking, rising adoption of remote eye tracking technology in usability testing and user experience research and increasing demand for remote eye tracking technology in market research and advertising majorly support the segmental growth. In addition, technological advancements in remote eye tracking technology, rising awareness and adoption of remote eye tracking technology in healthcare and growing use of remote eye tracking technology in virtual and augmented reality applications further fuel the growth rate of the segment.

The mobile segment had a considerable share of the global market in 2022 and is predicted to grow at a healthy CAGR during the forecast period. Factors such as the growing use of eye tracking technology in mobile gaming, rising demand for eye tracking technology in mobile advertising and marketing and increasing adoption of mobile eye tracking technology in healthcare contribute to the segmental growth majorly.

Eye Tracking Market Analysis - By Application:

• Human-Computer Interface (HCI)
• Medical
• Virtual Reality
• R&D

Based on the application, the HCI segment led the market in 2022 and is predicted to register a noteworthy CAGR during the forecast period. The rapid adoption of eye tracking technology in various industries, including gaming, advertising, and market research, rising demand for personalized and adaptive user interfaces and increasing interest in the use of eye tracking technology for accessibility purposes such as assisting individuals with disabilities in interacting with digital interfaces drive the growth rate of the segment.

The medical segment accounted for a considerable share of the global market in 2022 and is expected to witness a healthy CAGR in the coming years owing to the rising incidence of eye-related diseases and conditions, such as age-related macular degeneration (AMD), glaucoma, and diabetic retinopathy, growing demand for non-invasive and remote diagnostic and monitoring solutions and growing adoption of telemedicine solutions primarily boost the segmental growth.

Eye Tracking Market Analysis – By Vertical:

• Communication
• Marketing
• Entertainment
• Others

Eye Tracking Market Analysis - By Region:

• North America
• Europe
• APAC
• Latin America
• Middle East and Africa

North America led the eye tracking market in 2022. The domination of North America in the worldwide market is anticipated to continue throughout the forecast period. The growth of the North American market is primarily attributed to the presence of key market players such as Tobii AB, EyeTech Digital Systems, and SR Research Ltd., the growing adoption of eye-tracking technology in various industries such as healthcare, automotive, and advertising and the rise in the number of research and development activities. The growing use of eye tracking technology in sports training is another key factor fuelling the growth rate of the North American market. The U.S. eye tracking market captured the leading share of the North American market in 2022, followed by Canada.

Europe is a notable regional market for eye tracking and is estimated to register a noteworthy CAGR during the forecast period. Factors such as the growing use of eye tracking in the healthcare sector for diagnosing various neurological disorders in Europe and increasing demand for virtual reality and augmented reality applications primarily boost the European eye tracking market growth. The UK, Germany and France held the leading share of the European market in 2022.

APAC is the most lucrative regional market for eye tracking and is predicted to showcase the highest CAGR among all the regions in the worldwide market during the forecast period. The growing adoption of this technology in various industries such as automotive, aerospace and defence, the rising demand for eye tracking technology in the gaming industry and the rise in the number of research and development activities contribute to the growth of the eye tracking market in Asia-Pacific.

The eye tracking market in Latin America and MEA are estimated to grow moderately during the forecast period.

KEY MARKET PARTICIPANTS:

Some of the noteworthy players in the Global Eye Tracking Market profiled in this report are Tobii AB (Sweden), SensoMotoric Instruments GmbH (Germany), SR Research Ltd. (Canada), Seeing Machines (Australia), EyeTracking, Inc. (US), PRS IN VIVO (US), Smart Eye AB (Sweden), LC Technologies, Inc. (US), Ergoneers GmbH (Germany) and EyeTech Digital Systems, Inc. (US).

RECENT HAPPENINGS IN THIS MARKET:

• In January 2017, Eye Tech Digital Systems, Inc. partnered with Quantum Rehab. Together they announced the launch of a visually controlled wheelchair, which benefits people who cannot use a manual control system.
• The Washington DC Maine Correctional Service implemented iris scanning, a contactless technology much faster than fingerprint scanning. It is used to track prison inmates, verify their identity before granting access to restricted locations, and verify the identity of visitors.