Augmented Reality (AR) in Automotive Maintenance and Repairs Market Insights f

Augmented Reality (AR) in Automotive Maintenance and Repairs Market Size, Segments, Companies 2025-2034

From 2025 to 2034, the global AR in automotive maintenance and repairs market is set for a massive revenue upswing, with projections of growth reaching hundreds of millions of dollars. North America leads with 40% market share, while Asia-Pacific is the fastest-growing region. AR software dominates with 45% share, while AR hardware is growing fastest. Passenger cars hold 50% market share, and OEM workshops lead at 45%. Fleet operators are growing the fastest.

Augmented Reality (AR) in Automotive Maintenance and Repairs Market Size and Growth Forecast

The AR in automotive maintenance and repairs market is booming, poised for a revenue surge into the hundreds of millions from 2025 to 2034, driving a revolution in sustainable transportation. The market for augmented reality in automotive maintenance and repairs is expanding rapidly.

Augmented reality enhances the ease and pace of vehicle service by allowing mechanics to view installation and operation instructions for each part digitally displayed over the actual automotive parts, resulting in fewer errors, faster repairs, and reduced repair time. The steady growth in the number of cars, increased interest in smart workshop scenarios, and growing use of smart cars have supported the market growth, as well.

Introduction

The augmented reality (AR) in automotive maintenance and repairs market refers to the global industry focused on deploying AR technologies to assist technicians, engineers, and service personnel in vehicle maintenance, diagnostics, and repair operations. AR solutions include head-mounted displays, AR-enabled tablets, and smart glasses that overlay digital information on physical vehicles to improve repair accuracy, reduce service time, and enhance training. The market is driven by rising adoption of connected and electric vehicles, demand for faster and error-free repairs, automotive manufacturers’ investment in digital service tools, and increasing integration of Industry 4.0 technologies in automotive workshops.

Highlights of the Market

  • North America dominated and captured almost 40% of the total market share.
  • Asia-Pacific is expected to be the fastest-growing region in the market.
  • By component, the AR software (repair guidance & diagnostics) segment dominated and captured almost 45% of the total market share.
  • By component, the AR hardware (smart glasses & AR headsets) segment is expected to be the fastest-growing segment in the market.
  • By application, the maintenance & repair assistance segment dominated and captured around 40% of the total market share.
  • By application, the remote assistance & collaboration segment is expected to be the fastest-growing segment in the market.
  • By vehicle type, the passenger cars segment dominated and captured almost 50% of the total market share.
  • By vehicle type, the electric & hybrid vehicles segment is expected to be the fastest-growing segment in the market.
  • By end-user, the OEM workshops segment dominated and captured around 45% of the total market share.
  • By end-user, the fleet operators & logistics companies segment is expected to be the fastest-growing segment in the market.

Key Metrics and Overview

Metric Details
Key Market Drivers Adoption of connected/electric vehicles, demand for faster, error-free repairs, AR tech integration into automotive workshops, rising vehicle numbers
Leading Region North America
Market Segmentation By Component / Solution Type, By Application, By Vehicle Type, By End-User Industry and By Region
Top Key Players PTC Inc., Bosch Mobility Solution, Microsoft (HoloLens), Google LLC, Scope AR, Inc., Vuzix Corporation, RealWear, Autodesk, Visteon Corporation, EON Reality, Hexagon AB

What are the Trends of the AR in Automotive Maintenance and Repairs Market in 2025?

The trends in the AR in automotive maintenance and repairs market are partnerships and new product launches.

Partnership

  • Various companies in the market are partnering up with each other to accelerate innovation, share costs, and tap into growing demand for efficiency. For instance, in January 2025, Amentum partnered with Jujotech to merge AR and AI tools. This aimed to speed up industrial and defense maintenance. The move would help manufacturers deploy smarter repair systems across sectors, boosting reliability.

Product Launches

  • Numerous companies are focusing on launching new products to provide real-time visual guidance, step-by-step instructions, and remote expert support to their customers. For instance, in January 2025, Tech Mahindra unveiled its iXRT AR + generative AI solution on AWS. It helped dealers diagnose vehicles faster and more precisely. The release signaled new demand for AR in after-sales services in automotive.

Component Insights

How did the AR Software (Repair Guidance & Diagnostics) Segment Dominate the AR in Automotive Maintenance and Repairs Market in 2025?

The AR software (repair guidance & diagnostics) segment dominated and captured almost 45% of the total market share, as the software interface and diagnostic tools are at the heart of nearly all AR applications in automotive maintenance and repair. Software provides mechanics with step-by-step digital instructions, schematics for the vehicle, and real-time diagnostics.

The AR hardware (smart glasses & AR headsets) segment is expected to be the fastest-growing segment in the market, as hardware such as smart glasses and headsets makes the adaptation of AR into the service experience interactive and hands-free. Mechanics are able to see the repair instructions while maintaining their hands on the vehicle, resulting in improved speed and safety.

Application Insights

What made the Maintenance & Repair Assistance Segment Dominate the AR in Automotive Maintenance and Repairs Market in 2025?

The maintenance & repair assistance segment dominated and captured around 40% of the total market share because it is the most common use for AR in an automotive workshop. AR is doing more than just enabling technicians to diagnose a fault, follow a repair procedure, and access vehicle information without needing to find a manual. This will reduce downtime and increase productivity and the quality of service.

The remote assistance & collaboration segment is expected to be the fastest-growing segment in the market because AR enables technicians from anywhere in the world to assist with repairs. AR enables specialists to overlay instructions or create live support during complex repairs. This decreases the costs of traveling and increases the rate at which problems can be solved while allowing smaller operators to access the same calibre of knowledge and expertise as larger automotive repair facilities.

Vehicle Type Insights

Why did the Passenger Cars Segment Dominate the AR in Automotive Maintenance and Repairs Market in 2025?

The passenger cars segment dominated and captured almost 50% of the total market share, as there are more passenger vehicles needing maintenance work than commercial or specialty vehicles. AR provides a better process to support technicians with the more common issues that need addressing in terms of quality and time. The response from all manufacturers and repair shops to the passenger vehicle market will be high because they are so frequently serviced for little more than basic repairs.

The electric & hybrid vehicles segment is expected to be the fastest-growing segment in the market, as the technology is far more intensive and advanced, and the need for specialized maintenance is high. AR technology provides technicians with a better understanding of battery systems, electric motors, and hybrid vehicle components. The adoption of electric vehicles by consumers is also projected to increase, and subsequently, the EV market will expand as manufacturers adapt to the changing marketplace.

End-User Insights

How did the OEM Workshops Segment Dominate the AR in Automotive Maintenance and Repairs Market in 2025?

The OEM workshops segment dominated and captured around 45% of the total market share, as they have the resources, infrastructure, and trained personnel capable of deploying augmented reality (AR) solutions. AR is being widely adopted by OEMs to increase technician productivity, reduce errors, and maintain the integrity of the brand.

The fleet operators & logistics companies segment is expected to be the fastest-growing segment in the market since they manage existing large vehicle fleets and require effective maintenance solutions that reduce downtime. Augmented reality (AR) allows them to track their vehicles, receive remote support, and train their own in-house technicians faster.

Geographical Insights

What made North America Dominate the global AR in Automotive Maintenance and Repairs Market in 2025?

North America dominated and captured almost 40% of the total market share due to advanced technology, an established auto industry, and high uptake of digital technology within automotive service and vehicle repair. Service providers and original equipment manufacturers (OEMs) were investing considerably in AR for software and hardware to improve the efficiency of the automotive repair process while reducing costs. The plentiful labour, skilled technicians, and sufficient equipment and access to workshops supported the growth of these services in North America.

United States

The US was the leading North American AR market due to the largest automotive industry and high-tech adoption. Many OEMs, workshops, and training centers have deployed AR tools to enhance technological accuracy and reduce downtime. Broader opportunity for AR solutions was supported by the technology industry's continued focus on connected vehicles, electric vehicles, and smart repair systems, contributing to the strength of US service, manufacturing, and support systems.

Asia-Pacific

Asia-Pacific is expected to be the fastest-growing region in the market, as countries in this region have adopted digital solutions rapidly. Increased vehicle sales, increasing EV adoption, and growing automotive workshop options have increased the demand for AR tools for the automotive maintenance and repair market. Businesses wanted to use AR technology to improve repair efficiencies, reduce costs, and expedite the training of technicians.

China

China led the market in Asia-Pacific because it boasts the largest automotive industry in the region. Many automotive repair shops, OEMs, and even training centers adopted AR technology to improve maintenance efficiencies. High EV adoption rates, along with increasing smart workshop infrastructure, are driving sustained demand for AR tools in China.

Industry Leader Announcement

January 2025 Announcement
Vanderlande’s Vice President Warehouse Solutions Terry Verkuijlen. We’re proud to present our latest innovation that puts the warehouse of the future directly in our customers’ hands. Installing and using the Vanderlande app is simplicity itself and users can choose whether to dive straight into the AR experience or alternatively learn more about our solutions first.
January 2025 Announcement
Kurt McHenry, Director of Amentum’s Mission Solutions business group. We are excited to collaborate with Jujotech to harness the full potential of our combined expertise. This partnership embodies a shared vision of creating innovative, secure, and scalable solutions that will set new benchmarks across industries.

Competitive Landscape

The AR in automotive maintenance and repairs market is highly competitive. Some of the prominent players in the market are, PTC Inc, Bosch Mobility Solution, Microsoft Corporation (HoloLens), Google LLC, Scope AR, Inc., Vuzix Corporation, Augment, Inc, Upskill, Inc., RealWear, Inc., DAQRI, Inc., TechViz, EON Reality, Inc., Hexagon AB, Autodesk, Inc., and Visteon Corporation. These companies focused on the development of advanced software and hardware solutions that will help improve AR maintenance and repair accuracy and bridge a more efficient repair process. They also invested in developing more user-friendly user interfaces, real-time diagnostics, and enhanced remote assistance capabilities by collaborating with automobile manufacturers and repair shops.

Recent Developments

  • In January 2025, Vanderlande launched a new AR application to support its logistics operations. This app helped workers inspect and maintain systems efficiently. It showed AR’s utility not just in vehicles, but adjacent industrial systems too.
  • In September 2025, EON Reality launched a Spatial AI training platform to help America overcome its electric vehicle workforce shortage. The platform combined AR/XR and AI to train technicians for high-voltage systems, battery work, and charging infrastructure.

Augmented Reality (AR) in Automotive Maintenance and Repairs Market Players

Tier 1

Tier 2

  • Scope AR, Inc.
  • Vuzix Corporation
  • Augment, Inc.
  • Upskill, Inc.
  • RealWear, Inc.
  • DAQRI, Inc.
  • TechViz
  • EON Reality, Inc.
  • Hexagon AB
  • Fusion VR
  • PlugXR
  • Das Labs
  • Argenie.ai
  • Ethosh Designs Pvt Ltd
  • Arisys
  • AR Media Group

Tier 3

  • Bit VR
  • Augment Works
  • Quark Exp
  • QuadLogix Technologies Pvt. Ltd.
  • SwarajyaIT India
  • Leons Digital Technologies Private Limited
  • Solicitous Business Solution
  • Reality Premedia Services
  • Aaryavarta Technologies
  • vElement IT Private Limited
  • Qodequay Technologies
  • GoMechanic

Augmented Reality (AR) in Automotive Maintenance and Repairs Market Segments

By Component / Solution Type

  • AR Hardware (Smart Glasses, AR Headsets, AR Tablets)
  • AR Software (Diagnostic Applications, Step-by-Step Repair Guidance, Remote Assistance Platforms)
  • AR Services (Training, Maintenance Support, Consulting)

By Application

  • Vehicle Diagnostics & Fault Detection
  • Maintenance & Repair Assistance
  • Remote Assistance & Collaboration
  • Training & Skill Development

By Vehicle Type

  • Passenger Cars
  • Commercial Vehicles
  • Electric & Hybrid Vehicles
  • Two-Wheelers

By End-User Industry

  • Automotive OEM Workshops
  • Independent Repair Shops / Aftermarket Service Centers
  • Fleet Operators & Logistics Companies
  • Training Institutes / Technical Schools

By Region

  • North America
  • Europe
  • Asia-Pacific
  • Latin America
  • Middle East & Africa

Tags

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  • Insight Code: 1864
  • No. of Pages:
  • Format: PDF/PPT/Excel
  • Last Updated: 22 October 2025
  • Report Covered: Revenue + Volume
  • Historical Year: 2021-2023
  • Base Year: 2024
  • Estimated Years: 2025-2034

Meet the Team

Ajit Bansod is a skilled and research-driven analyst at Towards Automotive, with over 3 years of experience specializing in the intersection of automotive innovation and intelligent communication technologies.

Learn more about Ajit Bansod

Aditi Shivarkar, with 14+ years of experience in automotive market research, specializes in tracking trends across vehicle technologies, mobility solutions, and materials innovation. She delivers accurate, actionable insights that drive excellence in the automotive sector—fueling strategies around electrification, sustainability, and advanced manufacturing.

Learn more about Aditi Shivarkar

FAQ's

The AR in automotive maintenance and repairs market is expected to experience significant growth, with a revenue surge projected into the hundreds of millions from 2025 to 2034, driven by increasing adoption of AR technologies in the automotive sector.

North America dominates the AR in automotive maintenance and repairs market, capturing almost 40% of the total market share due to advanced technology adoption and high demand from OEM workshops and service providers.

Asia-Pacific is expected to be the fastest-growing region due to rapid digital adoption, increasing vehicle sales, and a growing focus on smart workshop solutions, particularly in countries like China.

The AR software segment, including repair guidance and diagnostics, dominates the market, capturing almost 45% of the total share, as software is central to most AR applications in automotive maintenance.

Passenger cars dominate the market, capturing almost 50% of the share, driven by their frequent maintenance needs compared to commercial or specialty vehicles.

The electric and hybrid vehicle segment is expected to grow the fastest due to their advanced technology and specialized maintenance needs, supported by AR tools for diagnostics and repair.

The maintenance and repair assistance segment leads the market, accounting for about 40% of the total share, as it is the most common and critical use case for AR in automotive workshops.

The key drivers include the growing adoption of connected and electric vehicles, increasing demand for faster, error-free repairs, and the integration of AR into automotive workshops for enhanced diagnostics and service efficiency.

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