Virtual Reality (VR) Team Practice Environment Global Market Report 2025

The virtual reality (VR) team practice environment market size has grown exponentially in recent years. It will grow from $2.35 billion in 2024 to $2.91 billion in 2025 at a compound annual growth rate (CAGR) of 23.9%. The growth during the historic period resulted from the increasing emphasis on collaborative learning, rising popularity of simulation-based practice, globalization of teams, greater focus on performance optimization, and growing awareness of experiential training.

The virtual reality (VR) team practice environment market size is expected to see exponential growth in the next few years. It will grow to $6.77 billion in 2029 at a compound annual growth rate (CAGR) of 23.5%. The growth during the forecast period will stem from rising demand for scalable training solutions, increasing need for continuous skill development, the expansion of hybrid work and training models, greater focus on personalized learning, and wider adoption across new industry sectors. Key trends expected in the forecast period include advancements in realistic simulation features, development of AI-driven adaptive training, innovations in multi-user collaborative platforms, progress in cloud-based VR accessibility, and the creation of cross-industry training applications.

The increasing adoption of remote and hybrid work models is expected to drive the growth of the virtual reality (VR) team practice environment market. Remote and hybrid work arrangements allow employees to work outside traditional office settings or choose flexible work hours. The shift toward these models is driven by organizations seeking greater workforce flexibility, reduced operational costs, and the ability to maintain productivity among geographically dispersed teams. In remote and hybrid work setups, VR team practice environments simulate real-world collaboration, enhance team communication, and facilitate immersive training sessions, regardless of participants' physical locations. For example, in February 2022, AT&T Inc., a U.S.-based telecommunications company, reported that the percentage of companies embracing hybrid work is projected to rise from 42% in 2021 to 81% by 2024. This trend is fueling the growth of the VR team practice environment market.

Key companies in the VR team practice environment market are focusing on leveraging AI-powered VR tools to speed up content creation, enable adaptive team-based training, and enhance the realism of collaborative practice environments. AI-powered VR tools integrate artificial intelligence with immersive virtual reality environments to create interactive, personalized training or simulation experiences. For instance, in February 2023, Moth+Flame VR, Inc., a U.S.-based provider of AI-powered VR training solutions, launched an AI-driven generative content authoring tool in beta. This tool enables enterprises to quickly build custom VR training experiences, featuring voice-activated navigation, drag-and-drop editors, 3D asset libraries, and multi-user collaboration. Invesco was the first to deploy this tool, creating bespoke training content in just 72 hours.

In April 2023, XRHealth USA Inc., a U.S.-based provider of virtual reality therapeutics and telehealth platforms for rehabilitation and pain management, merged with Amelia Virtual Care for an undisclosed amount. The merger aims to create a comprehensive virtual care platform by integrating immersive therapeutic solutions for physical conditions with clinically validated digital tools for mental health assessment and treatment. Amelia Virtual Care, a Spain-based company, offers a virtual reality platform designed for mental health professionals to conduct psychometric assessments and provide immersive cognitive behavioral therapy.

Major players in the virtual reality (VR) team practice environment market are Madison Industries, Surgical Science Inc., National Board of Medical Examiners (NBME), Labster ApS, EON Reality Inc., STRIVR Labs Inc., Osso VR Inc., XRHealth USA Inc., VirtaMed AG, Oxford Medical Simulation Ltd., Dreamscape Immersive Inc., Immersive VR Education Ltd., VictoryXR Inc., Inovus Medical Ltd., Wrap Technologies Inc., FundamentalVR Ltd., Sense Arena s.r.o., Medical Augmented Intelligence (MAI), PrecisionOS Technology Inc., REPS VR Inc.

North America was the largest region in the virtual reality (VR) team practice environment market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in virtual reality (VR) team practice environment report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The rapid escalation of U.S. tariffs and the resulting trade tensions in spring 2025 are significantly impacting the information technology sector, particularly in hardware manufacturing, data infrastructure, and software deployment. Higher duties on imported semiconductors, circuit boards, and networking equipment have raised production and operational costs for tech firms, cloud service providers, and data centers. Companies relying on globally sourced components for laptops, servers, and consumer electronics are facing longer lead times and increased pricing pressures. In parallel, tariffs on specialized software tools and retaliatory measures from key international markets have disrupted global IT supply chains and reduced overseas demand for U.S.-developed technologies. To navigate these challenges, the sector is accelerating investments in domestic chip fabrication, diversifying supplier bases, and adopting AI-driven automation to enhance operational resilience and cost efficiency.

The virtual reality (VR) team practice environment market research report is one of a series of new reports that provides virtual reality (VR) team practice environment market statistics, including the virtual reality (VR) team practice environment industry global market size, regional shares, competitors with the virtual reality (VR) team practice environment market share, detailed virtual reality (VR) team practice environment market segments, market trends, and opportunities, and any further data you may need to thrive in the virtual reality (VR) team practice environment industry. This virtual reality (VR) team practice environment market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

Virtual reality team practice environment is an immersive, computer-generated simulation platform that allows groups of individuals to practice, collaborate, and train together in a shared virtual space. It enables teams to engage in realistic training and collaborative exercises without being in the same physical location.

The primary components of virtual reality (VR) team practice environments include hardware, software, and services. Hardware consists of physical devices such as VR headsets, motion sensors, controllers, and supporting equipment that facilitate interactive and immersive practice sessions for teams across various sectors. These solutions are deployed via on-premises and cloud-based modes and are applied in education and training, healthcare, military and defense, sports, corporate environments, and more. Key end-users include enterprises, educational institutions, government agencies, sports organizations, and others.

The countries covered in the virtual reality (VR) team practice environment market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The virtual reality (VR) team practice environment market consists of revenues earned by entities by providing services such as virtual team training, skill development simulations, collaborative practice sessions, remote workforce training, defense and medical simulations, and sports or corporate teamwork exercises. The market value includes the value of related goods sold by the service provider or included within the service offering. The virtual reality (VR) team practice environment market also includes sales of VR software platforms, headsets, and simulation tools. Values in this market are ‘factory gate’ values; that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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