COVID-19 Impact on Mobile Augmented Reality in Information and Communication Technology Industry
ANALYSIS ON IMPACT OF COVID-19 ON THE MARKET
The pandemic started with its epicenter in China in 2019 and has been continuously spreading by then to all over the world, so far 216 countries and territories have been affected with COVID-19, U.S. being on the top with cases reaching to about 4.38 million, followed by Brazil, India and then by many European countries such as Russia, Spain, Italy and others. The COVID-19 cases reaching to the big named countries with strong dominance in the market which has adversely affected the economy globally. The spread of Coronavirus has led to the global recession, many companies are being bound to take stringent actions of laying of their employees, small business are being shut, manufacturing facilities are being put on hold. There has been a disruption in supply chain of many industries due to restriction in logistics and closing of manufacturing facilities. In addition, the slowdown in economy has lowered the spending capability of individuals and people are saving money for emergencies.
The pandemic has led to the growth of digital era, the users and industries have shifted to online sources and digital platforms for their daily operations. Mobile Augmented Reality enables digital transformation to be imposed and integrated into the physical environment. Mobile AR is a platform that will help turn their immediate world into learning, work and entertainment environments, with customers now at home during this global pandemic. The mobile augmented reality has thus been benefited by the increasing requirement of mobile augmented reality in gaming, e-commerce, education and other industries.
IMPACT ON DEMAND AND SUPPLY CHAIN AND LONG TERM STRATEGY ADOPTED BY MANUFACTURERS OR STEPS TAKEN
The behavior of the individuals have certainly changed in the pandemic, people are now more concerned towards their health. The government is also working on research and development to develop vaccine and avoid any further pandemic as such. The government is using augmented and virtual reality for the known disasters which can help in reducing the effects of the disaster.
· In May 2020, During the COVID-19 pandemic, smartphone AR apps became particularly useful in helping shoppers interact with goods prior to buying. Also, pandemic leads to higher adoption of Augmented Reality.
The pandemic has boosted the digital transformation of industries; companies are focusing more on digital platform to interact with their clients and customers. People working from home are also more reliable on digital sources. In regards to this the tech giants of mobile augmented reality need to sustain in the evolving market. The e-commerce market is increasing rapidly in this pandemic and mobile augmented reality can be taken advantage of by creating an artificial visual of the clothes that people like or superimpose the image of furniture on the place it needs to be place. The education and healthcare sector is also to be targeted as they are the industry getting high digital transformation in this pandemic.
The pandemic has adversely affected the sales of the companies as the demand has reduced due to several factors such as slowdown of economy. People are saving their money in order to use it for emergencies and companies have lowered their investments. Companies are using their capital to pay rent, mortgages and salaries and are not investing heavily on new projects.
However, the digital transformation of various industries and the people spending more time on digital screen is gradually increasing the scope of growth for the market. The growth has highly increased in healthcare sector as the demand for skilled doctors and for research increases. The mobile augmented reality is highly beneficial for the healthcare sector to help in extensive training. The education sector is another sector which is using augmented reality for training purposes increasing the growth of market in pandemic.
The supply chain was adversely affected in the initial phase of the pandemic as lockdown prevailed in many regions globally, government had limited the workers. However, companies are making their operation work according to the government regulations by making limited workers work in different shifts. The companies are doing its best to meet the increasing demand.
As the COVID-19 prevails the initial period saw a disruption in both supply and demand of the mobile augmented reality. Most of the manufacturing facilities were closed bringing down the production of AR/VR device manufacturing companies. However, as the markets are getting digitally transformed and people are being more rely to the digital sources the market seems to be growing. With most of the education institutions closed for time being the mobile augmented reality can provide enhanced education capabilities to the students. The digital transformation of the companies during the pandemic will highly utilize the benefits offered by mobile augmented reality technology. Healthcare, education and retail sector will act as major boosting factor for the growth of the market in this pandemic.