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US Virtual Reality Therapy Market Research Report: By Technology (Full Immersive VR, Semi-Immersive VR, Non-Immersive VR), By Device (Head Mount, Gesture Control, Projectors), and By Application (Phobia Treatment, Robotic Surgery, Visualization, Rehabilitation, Treatment Of Post-Traumatic Stress Disorder, Treatment Of Autism, Surgery Simulation) - Forecast to 2035.


ID: MRFR/ICT/56884-HCR | 200 Pages | Author: Aarti Dhapte| June 2025

US Virtual Reality Therapy Market Overview:


As per MRFR analysis, the US Virtual Reality Therapy Market Size was estimated at 231 (USD Million) in 2023. The US Virtual Reality Therapy Market Industry is expected to grow from 350(USD Million) in 2024 to 5,550.18 (USD Million) by 2035. The US Virtual Reality Therapy Market CAGR (growth rate) is expected to be around 28.562% during the forecast period (2025 - 2035).


Key US Virtual Reality Therapy Market Trends Highlighted


The US Virtual Reality Therapy Market is experiencing substantial growth, which is being driven by a variety of key market drivers. The acceptance of virtual reality as a therapeutic instrument among healthcare providers is on the rise. Due to its capacity to generate immersive experiences that enable patients to confront their fears in a controlled environment, the integration of VR technology into mental health treatments, particularly for anxiety disorders, PTSD, and phobias, has gained momentum. Additionally, the demand for innovative treatment methods and the increasing awareness of mental health issues have accelerated the adoption of VR therapies by healthcare facilities. There is a substantial amount of potential for exploration in the US Virtual Reality Therapy Market.


The potential for more effective treatment strategies is presented by the integration of other therapeutic techniques, such as cognitive behavioral therapy, as technology continues to advance. Virtual reality simulations can be tailored to meet the unique requirements of each patient, thereby improving the level of personalization in therapeutic environments. Furthermore, the market could be further expanded by the development of specialized VR applications that cater to specific conditions or patient demographics through partnerships between technology developers and healthcare providers. There is an increasing interest in the use of VR for pediatric care, pain management, and rehabilitation, as evidenced by recent trends.


The incorporation of VR solutions into the practice of more practitioners is being considered due to the ongoing evolution of VR hardware and software, which includes enhancements in user experience and accessibility. Additionally, the virtual reality therapy landscape is expanding as the United States government allocates funding for mental health programs and promotes mental health initiatives. This establishes a supportive environment for the development and implementation of VR therapies within healthcare frameworks throughout the nation.


Size


Source: Primary Research, Secondary Research, MRFR Database and Analyst Review


US Virtual Reality Therapy Market Drivers


Increasing Demand for Mental Health Treatments


The US Virtual Reality Therapy Market Industry is witnessing a surge in demand for mental health treatment options as mental health issues continue to rise across the nation. The National Institute of Mental Health reported that approximately 20.6% of adults in the United States experienced mental illness in 2019, equating to over 51 million individuals. This growing prevalence has led to an increased focus on innovative therapy methods, including virtual reality (VR) therapy, which offers immersive experiences that can enhance therapeutic outcomes.


Organizations like the American Psychological Association have begun advocating for the incorporation of VR technology in standard mental health practices, further accelerating adoption and development within the US Virtual Reality Therapy Market Industry.


Advancements in Virtual Reality Technology


The rapid advancements in virtual reality technology have significantly enhanced the capabilities of VR therapy, making it more effective and accessible. The introduction of high-resolution displays, improved motion tracking, and more realistic environments are enabling a more engaging experience for patients. According to a report by the Federal Communications Commission, the US is rapidly expanding its broadband infrastructure, with over 90% of households having access to high-speed internet.


This expansion supports the effective delivery of virtual reality applications, catering to a widening audience in the US Virtual Reality Therapy Market Industry. Major technology companies, such as Oculus (a subsidiary of Meta Platforms, Inc.), are continuously innovating in this space, driving the market forward.


Growing Support from Healthcare Providers


There is increasing support from healthcare providers for the integration of virtual reality therapy into treatment plans. A study published by the American Journal of Psychiatry found that VR therapy can effectively reduce symptoms of anxiety and post-traumatic stress disorder by up to 70% in some patients. This positive outcome has prompted healthcare systems in the US to explore VR applications; organizations like the Veterans Health Administration are implementing VR therapy for veterans suffering from PTSD, showcasing its effectiveness.


As acceptance of this technology grows among healthcare professionals, it is expected to have a substantial impact on the US Virtual Reality Therapy Market Industry.


US Virtual Reality Therapy Market Segment Insights:


Virtual Reality Therapy Market Technology Insights


The US Virtual Reality Therapy Market has been rapidly evolving, particularly within the technology segment, which plays a critical role in the overall market landscape. With advancements in VR technology, including Full Immersive VR, Semi-Immersive VR, and Non-Immersive VR, the market is witnessing increased adoption across various therapeutic applications. Full Immersive VR, known for its ability to create a completely simulated environment, offers a profound psychological engagement, allowing patients to confront fears in a controlled setting, which is particularly beneficial for treatments like exposure therapy for anxiety disorders.


This segment holds significant importance due to its potential to enhance patient outcomes and is increasingly leveraged in clinical settings.
Semi-immersive VR, which combines elements of the real world with virtual interactions, facilitates a balanced approach to therapy by allowing interactive experiences that maintain some level of real-world context. This segment serves as an effective tool for rehabilitation, offering a middle ground that can engage patients without completely detaching them from reality. Non-immersive VR, while less comprehensive than the other types, still plays a substantial role in the market by making therapeutic experiences accessible through various devices, including mobile platforms. This inclusivity ensures a broad reach to diverse demographics, especially those who may not have access to higher-end VR systems.


The segmentation enhances the US Virtual Reality Therapy Market by catering to the varying needs of patients and practitioners. Current trends indicate that the demand for VR therapy is driven by a growing awareness of mental health issues and the effectiveness of immersive technologies in addressing these challenges. Furthermore, the market growth is supported by ongoing research and development focusing on creating more user-friendly and cost-effective VR solutions.


However, it is essential to address challenges, such as the need for rigorous clinical validation and guidelines that ensure the safe and effective application of these technologies. Overall, the technology segment of the US Virtual Reality Therapy Market is poised for growth, presenting numerous opportunities to innovate and improve therapeutic practices while also navigating the complexities of patient engagement and treatment efficacy. The continuous evolution of VR technology is expected to further enhance its application in therapy, positioning it as an integral part of modern healthcare solutions.


Virtual Reality Therapy Market Segmant


Source: Primary Research, Secondary Research, MRFR Database and Analyst Review


Virtual Reality Therapy Market Device Insights


The Device segment of the US Virtual Reality Therapy Market showcases notable growth and innovation, contributing significantly to advancements in healthcare applications. Specifically, Head Mount devices are essential for delivering immersive experiences that enhance patient engagement within therapy settings, proving to be a vital tool in rehabilitation processes. Gesture Control technology has gained prominence for allowing intuitive interactions, thereby making therapy sessions more interactive and responsive to patients' needs. Projectors, while less common, play an important role in creating shared virtual environments that facilitate group therapy sessions, enhancing social interaction among patients.


The overall rise in mental health awareness in the US has bolstered demand for these technologies, making them integral to personalized treatment plans. Market growth is driven by the increasing adoption of virtual reality solutions in therapeutic practices alongside technological advancements that enhance device functionalities. With significant investments in Research and Development and the continuous evolution of user experiences, this segment holds strong potential for improving therapeutic outcomes and patient satisfaction in the United States.


Virtual Reality Therapy Market Application Insights


The US Virtual Reality Therapy Market focuses extensively on various applications that are redefining therapeutic practices across multiple healthcare domains. Phobia treatment utilizes immersive simulations to help patients confront and manage their fears effectively, offering an innovative alternative to traditional methods. Rehabilitation employs virtual environments to enhance physical therapy sessions, promoting engagement and motivation among patients. The treatment of post-traumatic stress disorder leverages VR to create safe spaces for exposure therapy, allowing individuals to process traumatic experiences in a controlled manner.


Meanwhile, the treatment of autism utilizes tailored virtual experiences to improve social skills through real-world simulations. Robotic surgery applications integrate VR for enhanced precision and visualization, aiding surgeons in performing complex procedures. Additionally, surgery simulation plays a crucial role in medical training, enabling practitioners to hone their skills in a risk-free environment. These application areas collectively represent a significant growth opportunity in the US Virtual Reality Therapy Market, driven by advancements in technology and increasing acceptance of VR as a viable therapeutic tool.

The diverse landscape of these applications highlights the potential for VR to transform treatment protocols and improve patient outcomes across various medical disciplines.


US Virtual Reality Therapy Market Key Players and Competitive Insights:


The US Virtual Reality Therapy Market has gained significant attention due to the increasing recognition of virtual reality as a therapeutic tool in treating various psychological and physical conditions. This market is characterized by a diverse array of companies participating in the development of innovative VR therapies that cater to mental health disorders, pain management, and physical rehabilitation. The competitive landscape comprises established players as well as emerging startups, each bringing unique approaches to harnessing technology for therapeutic purposes. Factors such as governmental support for digital health solutions, advancements in VR technology, and rising consumer demand for mental health resources contribute to shaping the market dynamics. As these companies strive to differentiate themselves, key competitive insights emerge around product innovation, partnerships, and strategic market positioning.


Microsoft stands out in the US Virtual Reality Therapy Market as a formidable player due to its robust technological capabilities and extensive experience in creating immersive environments. The company's strength lies in its comprehensive software solutions, which are utilized in various therapeutic applications. Microsoft has leveraged its cloud infrastructure to enhance the scalability and accessibility of VR therapy applications, providing healthcare professionals with the necessary tools to implement effective treatment methodologies. Their commitment to improving patient outcomes through innovative technology is reflected in their partnerships with healthcare providers, enabling them to integrate VR solutions seamlessly into existing therapeutic protocols. This integration of hardware and software not only enhances patient engagement but also establishes Microsoft's dominance in a rapidly evolving market landscape.


AppliedVR has carved a niche for itself within the US Virtual Reality Therapy Market through its focus on developing evidence-based VR solutions designed specifically for pain management. The company offers a range of therapeutic programs that utilize virtual environments to provide patients with immersive distraction techniques and cognitive behavioral therapy. AppliedVR's strategic presence in the market is marked by collaborations with prominent healthcare institutions and ongoing clinical trials that bolster the efficacy of its products. The company has shown strengths such as adaptability to varying patient needs and a deep understanding of the healthcare ecosystem, which is vital for successful implementation in clinical settings. In terms of expansion, AppliedVR has been actively pursuing partnerships and has engaged in acquisitions to enhance its technological capabilities and broaden its service offerings, positioning itself as a leader in the VR therapy market focused on improving patient experiences and outcomes across the United States.


Key Companies in the US Virtual Reality Therapy Market Include:




  • Microsoft




  • AppliedVR




  • LIV




  • Virtual Reality Medical Center




  • Psious




  • HTC




  • Oculus




  • Meta




  • Surgical Theater




  • VRhealth




  • BehaVR




  • CureVR




  • Google




  • XRHealth




US Virtual Reality Therapy Market Industry Developments


Recent developments in the US Virtual Reality Therapy Market have highlighted significant advancements and activities among key players. In September 2023, AppliedVR announced a partnership with prominent US healthcare providers to enhance their virtual reality therapy solutions for pain management. Meanwhile, Psious secured additional funding to expand its mental health therapy applications using virtual reality techniques, indicating strong growth potential. Furthermore, in August 2023, HTC unveiled new VR products specifically designed for therapeutic use, reflecting a growing interest in therapeutic applications of VR technology.


The market also witnessed an increase in collaboration among companies; in July 2023, Google and Oculus joined forces to create an immersive therapeutic environment aimed at improving mental health outcomes. Notably, in June 2023, VRhealth expanded its market presence by acquiring a smaller VR therapy startup, thereby solidifying its position in the competitive landscape. The overall market is projected to grow significantly, driven by the rising recognition of VR therapy's efficacy in treating various conditions, and this momentum is seen in yearly valuations, as many companies have reported substantial increases in their financial metrics over the last two years.


Virtual Reality Therapy Market Segmentation Insights




  • Virtual Reality Therapy Market Technology Outlook




    • Full Immersive VR




    • Semi-Immersive VR




    • Non-Immersive VR






  • Virtual Reality Therapy Market Device Outlook




    • Head Mount




    • Gesture Control




    • Projectors






  • Virtual Reality Therapy Market Application Outlook




    • Phobia Treatment




    • Robotic Surgery




    • Visualization




    • Rehabilitation




    • Treatment Of Post-Traumatic Stress Disorder




    • Treatment Of Autism




    • Surgery Simulation





US Virtual Reality Therapy Market Report Scope
Report Attribute/Metric Details
Market Size 2023 231.0(USD Million)
Market Size 2024 350.0(USD Million)
Market Size 2035 5550.0(USD Million)
Compound Annual Growth Rate (CAGR) 28.562% (2025 - 2035)
Report Coverage Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
Base Year 2024
Market Forecast Period 2025 - 2035
Historical Data 2019 - 2024
Market Forecast Units USD Million
Key Companies Profiled Microsoft, AppliedVR, LIV, Virtual Reality Medical Center, Psious, HTC, Oculus, Meta, Surgical Theater, VRhealth, BehaVR, CureVR, Google, XRHealth
Segments Covered Technology, Device, Application
Key Market Opportunities Rising demand for mental health solutions, Growth in chronic pain management, Expansion in PTSD treatment, Integration with telehealth platforms, Increasing adoption in rehabilitation programs
Key Market Dynamics Increased mental health awareness, Advancements in VR technology, Growing acceptance by healthcare providers, Rising demand for remote therapy, Enhanced patient engagement strategies
Countries Covered US


Frequently Asked Questions (FAQ) :

The US Virtual Reality Therapy Market is expected to be valued at 350.0 million USD in 2024.

By 2035, the market is expected to grow significantly to a value of 5550.0 million USD.

The expected CAGR for the market from 2025 to 2035 is 28.562 percent.

The Full Immersive VR segment is projected to reach 1700.0 million USD by 2035.

The Semi-Immersive VR segment is expected to be valued at 2400.0 million USD by 2035.

Major players in the market include Microsoft, AppliedVR, HTC, Oculus, and Google.

The Non-Immersive VR segment is expected to reach a value of 1450.0 million USD by 2035.

The market growth is expected to be driven by technological advancements and increased applications in mental health treatment.

In 2024, Full Immersive VR is valued at 100.0 million USD, while Semi-Immersive VR is valued at 150.0 million USD.

The market presents opportunities to expand therapeutic applications and integrate VR with existing medical practices.

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