V I R T U A L E N T E R T A I N M E N T A N D M A R K E T I N G

Third, there is
speculation that
AR will ultimately
replace VR.
This speculation about AR has caused
companies to not only take a cautious
approach to producing VR content but,
for some, to also skip VR altogether
in order to work on AR technology.
Google, for instance, has created the
budget-priced Cardboard that allows for
VR viewing with existing smartphones.
However, the tech giant’s investments
in AR startups Jaunt and Magic Leap
suggest that it is also looking ahead
to AR rather than focusing solely on
VR. At present, AR represents a more
advanced technology than VR, although
current, less advanced AR technology
than either Microsoft HoloLens or
Magic Leap is easy to integrate into
existing smartphones.
Microsoft has even bypassed VR
development to work on the HoloLens.
This holographic technology represents
a powerful form of AR, whose Windows
Holographic software will work with
any Windows 10 device. Therefore, like
Sony’s Project Morpheus and Google
Cardboard, the HoloLens headset will
work with devices that people already
own. Unlike these other headsets,
Microsoft has been touting that
HoloLens’s application extends beyond
just entertainment.
The HoloLens will reportedly be
commercially released in late 2015.
However, it is possible that, because
AR systems require significantly
more processing power than VR,
other AR headsets will have a longer
road to release. Its early entry into
the marketplace and its recognizable
brand name could allow Microsoft to
have a monopoly on AR hardware and
software.
Still, with so much work being done
in VR in advance of AR’s release,
it is possible that AR will not so
much replace VR as converge with
it. That is, currently in-development
VR technologies could integrate AR
capabilities and vice-versa. Therefore,
it is unlikely that VR will be a passing
fad, and it is wise for entertainment
companies and brands to work with VR
technology. Those that work with the
technology in its early stages will have
the power to shape the direction the
technology and its market take.
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