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Microsoft HoloLens represents an example of AR technology that eclipses what is being said and done in the VR space. In fact, The New York Times has quoted Microsoft’s Todd Holmdahl as saying that HoloLens represents “a new product category.” Furthermore, Forbes has called HoloLens “the most ambitious (AR) project to date.” This technology, then, illustrates that content creators need to consider not only VR but AR as well. For Microsoft, the HoloLens functions not only as a platform to maximize the value of its video games but also as a way of helping to repair its reputation among consumers and software developers. However, the company is taking a different strategy to HoloLens than it has with its Xbox video game platform, in that, unlike Xbox, the HoloLens will be fully integrated across Microsoft. In particular, it will be used with Skype, Windows, and Microsoft’s video game development teams. Although Microsoft has been clear that HoloLens will feature content and applications beyond video games (such as those relating to entertainment, business, and education), the company will use video games as a mass market product that drives consumers to the technology. The announcement of HoloLens followed the September 2014 news of Microsoft paying $2.5 billion for the hit video game Minecraft and its studio Mojang. Microsoft CEO Satya Nadella has even told The New York Times that HoloLens influenced the decision behind this purchase. Tech blog The Verge, meanwhile, has argued that Minecraft will bring consumers to HoloLens: “Minecraft has a huge audience, and it’s comparably easy to develop, but here’s its big potential: Minecraft could help new users of virtual and augmented reality headsets feel comfortable in three-dimensional space. And that’s essential.” While video games might influence consumer adoption of the HoloLens, skeptics question Microsoft’s ability to succeed with the HoloLens. First, The New York Times has noted that Microsoft has had a history of releasing technology that, while innovative, fails to find commercial success, such as pre-iPhone smartphone software and an early type of smartwatch. Second, The New York Times also has quoted an unidentified Microsoft executive as saying that the HoloLens will cost “significantly more” than a video game 24
console, which tend to be in the range of $300-$500. Third, a writer at CNET has said regarding the HoloLens, “I remain cautiously optimistic. The limited field of view is going to be a deal-breaker for many, but this device remains something you’ll need to see to believe.” Finally, a writer at PC World is skeptical that HoloLens will achieve mass market adoption, at least immediately: “Right now, I see HoloLens as a tool - one that’s indispensible for some applications, but not quite the Holy Grail that Microsoft’s HoloLens team wishes it could be.” In terms of the technology, the HoloLens are smart glasses that run on Windows Holographic software powered by a Windows 10 device. This makes the HoloLens particularly attractive to content creators because it, like Sony’s Project Morpheus and Google Cardboard, will work with devices that people already own. What is also attractive about the technology is that, unlike these other devices, it presents a virtual world that is overlaid on top of the physical space in which the user is situated. The user is able to interact with this virtual overlay through sight, voice, and gesturing. This level of interaction goes far beyond what is possible in VR. innovation in filmic content. However, Microsoft has even been touting that HoloLens is for more than just entertainment. For instance, the promotional video distributed at the announcement of the HoloLens presents the technology as an educational and business tool, with one application being that users can create their own holograms that can be created in the physical world with a 3D printer. Furthermore, it’s possible to imagine that Microsoft could use Minecraft - as a communication and educational tool - to introduce consumers to the broader applicability of HoloLens, such as architecture and design. Hollywood studios, video game companies, and brands will be wise to begin considering how they can develop content that works in both VR and AR, as these formats will eventually converge. Because of this, content for HoloLens (and AR more generally) will need to be unique from that developed for VR. As in VR, video games will drive 25
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