The increasing adoption of 5G networks is expected to drive the demand for digital advertising services in social media market. 5G networks will accelerate the uptake of digital advertising applications and services and enable new use cases. 5G will also lead to an increase in data traffic, not only from smartphones, but also from the Internet of Things (IoT)-enabled devices. By 2025, 5G connections in the USA are predicted to reach 252 million. Therefore, the rapidly growing 5G technology will enable businesses to increase digital advertising, driving the social media market value.
The global social media market size grew from $159.68 billion in 2021 to $221.29 billion in 2022 at a compound annual growth rate (CAGR) of 38.6%. The Russia-Ukraine war disrupted the chances of global economic recovery from the COVID-19 pandemic, at least in the short term. The war between these two countries has led to economic sanctions on multiple countries, surge in commodity prices, and supply chain disruptions, effecting many markets across the globe. The social media market share is expected to grow to $777.64 billion in 2026 at a CAGR of 36.9%.
Augmented Reality Is A Key Trend In The Social Media Market
As per the social media market research, companies involved in social media market are increasingly investing in augmented reality (AR) to better engage end-users and drive revenues. AR consists of three basic features – a combination of real and virtual worlds, real-time interaction and accurate 3D registration of virtual and real objects. The use of AR in digital advertising provides an interactive experience of a real-world environment where the objects that reside in the real world are enhanced by computer-generated perceptual information.