

In the same way that smartphones and apps moved mobile photography outside the realm of professionals and enthusiastic hobbyists, we can expect AR and VR to open up new creative avenues for all of us. The technology already exists to process 360-degree imagery in hours-something that until recently would take days-and is within reach for filmmakers on small budgets. Immersive technologies will also empower smaller firms to produce higher quality content at lower cost. The implication is that immersive technologies promise higher accuracy in design and, as a consequence, an end product of higher quality at a potentially cheaper cost than traditional prototyping technologies can provide. While traditional technologies also allow companies to prototype, with immersive tech, designers are provided a more direct experience by being able to walk, fly and interact with their prototypes, either in an AR or VR environment. As a result, we’re going to get better creations,” says Jeffrey Powers, co-founder and CEO of Occipital. “You can iterate on your city plan, your home and your construction worksite many more times before you actually start to dig or make a change.

Wider use of virtual prototyping will allow companies to reduce the number of costly prototypes needed, as well as significantly decreasing the timeline from conceptual design to production and commercialization. For example, one design firm passed $50,000 worth of savings to a client in the aeronautics industry by using VR prototyping to abolish two physical prototype cycles and eliminate the time that would have been required for the assembly of custom samples. “Virtual prototyping” allows us to shorten the time and cost of iteration in product development while also improving the quality of the end product. Reduced production costs in creative activities The strongest demand for the technologies currently comes from industries in the creative economy-specifically, gaming, live events, video entertainment and retail-but will find wider applications in industries as diverse as healthcare, education, the military and real estate over time (Exhibit 1). The large investments and acquisitions by tech giants suggest that these technologies will become increasingly integrated with the platforms on which we consume content.Īccording to a recent estimate by Goldman Sachs, AR and VR are expected to grow into a $95 billion market by 2025. Since it bought Oculus for $2.1 billion, Facebook has acquired a further 11 AR and VR companies, underscoring the company’s view that AR and VR will form the next frontier. Last year was seen as the dawn of a third wave of devices employing augmented and virtual reality (AR and VR), which define the two spectrums of immersive technology that could replace mobile computing.Ī range of major products came to market in 2016 from companies including Oculus VR, Sony and Google. We are at the cusp of a major revolution from mobile to immersive computing.
