2019 Q1 Superdata State of the XR Industry Webinar Deck

Please visit hps://youtu.be/4PRWPO366BQ for the full recording of the webinar

STEPHANIE LLAMAS CARTER ROGERS VP, Research & Strategy Principal Analyst Head of XR

[email protected] [email protected] @XRSteph @CarterRog 3

We collect POS transaction data on 190M unique consumers from partners For more information, visit to provide market intelligence on games superdataresearch.com and interactive media. Partners include: or email [email protected] • Payment Providers • Publishers • Stakeholders

The XR Data Network is the first industry collaboration to quantify and For more information, visit validate the global XR market. superdataresearch.com • Partners include headset makers, developers or email [email protected] and ad networks • Partners get ongoing insights and data to improve strategy • Reviewing applications now 5

Our products include quarterly data subscriptions, custom reports, syndicated For more information, visit one-off reports superdataresearch.com • Dynamic Markets, Explained or email [email protected] • Consumer Thinking, Doing, Buying • Industry-Standard Methodology

STATE OF THE XR INDUSTRY Q1, MAY 2019 | © 2019 SuperData, A Nielsen Company. All rights reserved. @_SuperData | @XRSteph | @CarterRog The Immersive Market Immersive technology consumer and enterprise revenue: 2018-2022

Virtual reality $20B Mobile augmented reality Augmented/Mixed reality headsets

$15B 2018 $10B $5.9B XR market $5B $3.3B $1.8B $0.8B Hardware $0B Soware 2018 2019 2020 2021 2022

Virtual reality $20B Mobile augmented reality Augmented/Mixed reality headsets

$15B 2019 $9.7B $10B XR market

$4.9B $5B $3.3B $3.3B $1.8B $0.8B $1.5B Hardware $0B Soware 2018 2019 2020 2021 2022

HTC VIVE Focus 0.1M

HTC VIVE 0.3M

Oculus Ri 0.4M

Samsung Gear VR 0.6M

Oculus Go 1.0M

PSVR 1.6M

1,000K

750K

500K

PSVR 250K Oculus Go Samsung Gear VR Oculus Ri HTC VIVE Windows 0K HTC VIVE Focus 2018 Q1 2018 Q2 2018 Q3 2018 Q4 2019 Q1

STATE OF THE XR INDUSTRY Q1, MAY 2019 | © 2019 SuperData, A Nielsen Company. All rights reserved. @_SuperData | @XRSteph | @CarterRog Oculus Ri S and Oculus Quest New headsets entering the XR market in 2019

Educaon 2% Social media 2% Video & entertainment media 3% Interacve media 10% Games Worldwide 37% VR soware revenue $1.0B 2018

Locaon-based entertainment 43% 13

Other* 15%

Worldwide revenue Custom 25% $413M PC VR 2018 60%

* Other segment includes standalone VR, console VR, premium mobile VR and light mobile VR 14

PC VR 24% Other* Custom 15% Worldwide 40% revenue Worldwide revenue $937M Custom 2022 25% $413M PC VR 2018 60% Other* 36%

* Other segment includes standalone VR, console VR, premium mobile VR and light mobile VR 15

Locaon-based entertainment 20% Educaon 2% Interacve media Social media 6% 2% Worldwide Educaon Video & entertainment media 2% 3% VR soware revenue Social media Interacve media 2% 10% Games $4.7B Video & entertainment Worldwide 37% VR soware 2022 media 2% revenue $1.0B 2018 Games 67%

Locaon-based entertainment 43% 16

STATE OF THE XR INDUSTRY Q1, MAY 2019 | © 2019 SuperData, A Nielsen Company. All rights reserved. @_SuperData | @XRSteph | @CarterRog Enterprise VR Supply & Demand Share of worldwide enterprise VR developers working in each sector, Q1 2019

Supply 50% 34% 29% 31% 25% 25% 24% 22% 4%

AEC & Retail Educaon Healthcare/ Manufacturing & Auto & Travel & Government/ Other Design medicine Industrial Transport leisure Military engineering

Demand 37% 19% 11% 8% 7% 6% 4% 7% 7%

AEC & Retail Educaon Healthcare/ Manufacturing & Auto & Travel & Government/ Other Design medicine Industrial Transport leisure Military engineering 17

STATE OF THE XR INDUSTRY Q1, MAY 2019 | © 2019 SuperData, A Nielsen Company. All rights reserved. @_SuperData | @XRSteph | @CarterRog Nielsen’s Enterprise Soluon Nielsen’s SmartStore uses immersive reality to help stores make faster, smarter and more shopper-centric decisions

SMARTSTORE is the next- generaon Immersive Reality Shopper tool which brings together a unique smart integraon of store planning, merchandising and markeng, underpinned by rich shopper research and embedded analycs.

STATE OF THE XR INDUSTRY Q1, MAY 2019 | © 2019 SuperData, A Nielsen Company. All rights reserved. @_SuperData | @XRSteph | @CarterRog Enterprise AR/MR Supply & Demand Share of worldwide enterprise AR/MR developers working in each sector, Q1 2019

Supply 51% 41% 40% 40% 34% 33% 25% 25% 7%

AEC & Retail Educaon Healthcare/ Manufacturing & Auto & Travel & Government/ Other Design medicine Industrial Transport leisure Military engineering

Demand 33% 15% 16% 18% 9% 12% 8% 8% 4%

AEC & Retail Educaon Healthcare/ Manufacturing & Auto & Travel & Government/ Other Design medicine Industrial Transport leisure Military engineering 19

STATE OF THE XR INDUSTRY Q1, MAY 2019 | © 2019 SuperData, A Nielsen Company. All rights reserved. @_SuperData | @XRSteph | @CarterRog XR Investment Forecasted fundraising totals for companies working in AR/MR and VR

Venture investments in XR AR/MR total $1.8B VR total

$1.2B

$0.6B

$0.0B 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022

2.0B 1.7B 1.5B 1.4B 1.1B 1.0B 0.6B 0.5B 0.5B 0.3B

0.0B 2015 2016 2017 2018 2019 2020

TikTok

2.0B 1.7B 1.5B 1.4B 1.1B 1.0B 0.6B 0.5B 0.5B 0.3B

0.0B 2015 2016 2017 2018 2019 2020

Social media apps 84%

Online shopping apps 41%

AR games 34%

AR media apps 15%

Ulity apps 11%

Mobile AR Average Average annual users 54% 46% 33 age $57K income

Non-AR Average Average annual users 46% 54% 46 age $49K income

No 26% No 36% Ad viewers Share who who share see AR ads content Yes 64% Yes 74% 25

Games Other $0.9B

$0.9B $7.0B $0.8B

$0.8B $0.6B $5.2B

$7.0B $0.4B $0.6B

$3.8B $5.2B

$0.4B

$0.3B $2.9B $3.8B

$2.9B

$0.3B $0.0B $0.1B $1.5B

$0.1B $0.0B $1.5B

$0.5B $0.4B $0.9B $1.0B

2016 2017 2018 2019 2020 2021 2022

Immersive technology consumer and enterprise revenue: 2018-2022 2022 $32.5B XR market Virtual reality $20B Mobile augmented reality Augmented/Mixed reality headsets

$15B $13.7B $11.1B $10.9B $10B $7.7B $7.9B $7.9B $6.0B $4.9B $5B $4.5B$4.2B $3.3B $3.3B $1.8B $0.8B $1.5B Hardware $0B Soware 2018 2019 2020 2021 2022

Peter Gao Sr. Business Development Manager [email protected]

www.superdataresearch.com @_SuperData