At the autumn Spb Startup Day, IIDF investment manager Ilya Korolev spoke about the market for VR/AR solutions and shared his opinion on which startups from this area are more interesting to invest in and why, as well as figures on market volume and investments in virtual and augmented reality. We are publishing material based on the results of the speech with minor additions. 
On behalf of the IIDF, I invest in IT companies at the seed and round A stages, which, based on the results of the Accelerator, showed good growth and potential. Or these could be companies that did not go through the Accelerator, earn from 30-40 million rubles a year and are looking for money to scale in Russia or abroad.
I started actively researching the VR/AR area almost two years ago. The market is at a very early stage of development, but at the same time it is extremely attractive for investment, as it has the potential to become very large and even surpass the mobile device market. More than $2 billion has been invested in the industry over the past year. Russia and its engineers have great potential to become one of the key suppliers of technological and product solutions for this market.
The history of the appearance of terms and the spectrum of realities
Let's start from afar. The spectrum of realities, which was formulated by Paul Milgram in 1994: from the physical environment (all objects are real, they can be felt) to the completely virtual (all objects and environment are computer generated). Let us outline the differences between the main types of realities.
The reality-virtuality spectrum according to Milgram (1994)
Virtual reality (VR)- a closed computer simulation of a certain environment around the user, who is completely immersed in the virtual world. The goal of virtual reality is to use various human receptors (vision, hearing, smell, tactile sensations) to immerse the user in virtual reality as much as possible. A person begins to feel himself inside a virtual simulation environment, and in the presence of a system with the possibility of feedback, an imitation of physical sensations occurs.
The term artificial (virtual) reality was first formulated by American computer artist Myron Kruger in the late 60s - the first attempts to create tools that allow you to immerse yourself in virtual reality began to appear during this period.
The evolution of virtual and augmented reality glasses
Augmented reality (AR)- the overlay of computer-generated layers onto existing reality, as a result of which the existing reality is improved. They tried to make the first augmented reality glasses back in 1613 in the form of a helmet, which allows you to additionally see some objects (shown in the picture above). One example of augmented reality is information for the pilot (speed, weather changes and other indicators) projected on the windshield of the cockpit of an airplane.
Another example is when you point your smartphone at a building and the screen displays information that the building houses a coffee shop or spa.
The architect Filippo Brunelleschi tried to create augmented reality tools back in the 15th century. He drew an object that complemented another that existed in the real world - and suggested looking at it through a mirror with a hole. 
But the term “augmented reality” itself was proposed by Boeing researcher Tom Codell in 1990. In terms of spectrum, this type is closer to the real environment.
The virtual and augmented reality market is gaining momentum, and every year more and more technologies appear in this area. Let's look at where they can be used.
Areas of application of VR/AR solutions
Entertainment. Everyone who begins to engage in virtual and augmented reality first of all goes into entertainment, games, and 360-degree videos. But in my opinion, it is more interesting to look at other possibilities for using these technologies.Design. Designers and planners use augmented and/or virtual reality helmets to increase the efficiency of their work. There are solutions that allow designers from different countries to work on the same object simultaneously in real time, which increases the efficiency of the production process or model and solves communication problems. VR technologies can be used in prototyping and modeling, in production when assembling products.
Sport. An interesting case of using virtual reality was in sports in the USA: when an American football player was preparing for a match, he put on a virtual reality helmet and simulated the start of the game and his position on the field. So he gained experience and, together with the coach, worked out one or another strategy.
Military industrial complex. Some of the pioneers in the use of virtual and augmented reality are the military. In the virtual world or using augmented reality, they simulate combat, mine clearance or other operations to reduce the likelihood of error in a real environment.
Medicine. In this area, VR technologies are also beginning to be used more and more often - from virtual training of doctors on how to operate correctly, to the use of virtual reality for the rehabilitation of patients and the treatment of phobias (fear of heights, spiders and others). Immersion in virtual reality creates an immersive effect that increases the effectiveness of rehabilitation/treatment. For example, the Russian company Intelligence and Innovations is creating a rehabilitation complex consisting of virtual reality displays for partial and full immersion, a motion capture system and feedback mechanisms. The complex is used for the rehabilitation of patients who have suffered a stroke and need to restore motor skills.
There are actually many more areas; their analysis deserves a separate article, but we will focus on market volumes and the amount of investment in the technology.
Virtual and Augmented Reality Trend: Technology Maturity Cycle
Virtual reality has gone through several stages of development. We are now seeing a new round, in which for the first time virtual reality has a mass effect.The revolution we are now witnessing is a consequence of the emergence of the so-called “fourth platform”. 
The first platform was personal computers, which appeared in the late 80s - early 90s, then the Internet came, and the next stage was mobile technologies. Now mobile consumption is already greater than on personal computers. Virtual and augmented reality is the next platform for which new markets, offers and businesses will be created. Now is the moment when we need to invest in VR/AR and develop technologies in this area.
There is a hype cycle - a cycle or technology maturity curve, which was proposed in 1995 by the research company Gartner. Every technology on the market goes through some stage of this cycle. The 2016 version looks like this:
The first stage is the “trigger”, when at the beginning of the journey no one knows about the technology, only scientists and enthusiasts are involved in it, no one invests in it.
The second stage is the “peak of excessive expectations.” More and more people are learning about the technology, the collective expectation of a boom and a surge of interest in it is growing. During this period in the mid-90s, Nintendo released virtual reality gadgets, but only 700 of them were sold. The quality content and resolution of existing screens were not enough to create a mass effect.
Therefore, in the hype that virtual reality had in the early to mid-90s, they were disappointed and began to wait for what would happen next. “Disappointment” is the third stage in the technology maturity cycle. Nowadays it is home to augmented reality.
I would call the starting point of the latest round of VR development the success of the Oculus virtual reality helmet and its crowdfunding campaign on Kickstarter.
Now virtual reality is at the fourth stage of the technology maturity cycle - “enlightenment”: solutions to the main problems of the technology have already been found, a lot of high-quality content and an audience are appearing. At the same time, VR is approaching the fifth stage - the “productivity plateau”, when the technology becomes commonplace, its use turns into a routine. More and more people will use virtual reality in everyday life. One of the drivers for the development of the VR market, so that it becomes truly massive, will be mobile VR. Samsung and Google have high hopes for it.
Market size - forecasts
According to analysts, the current volume of the virtual and augmented reality market in revenue from sales of content and devices is several billion dollars, but by 2020 it will be more than $150 billion (see figure).
This is a huge opportunity for startups and investors. Now the main revenue is generated by virtual reality helmets and the content that is created for them. But the picture will change - a big bet will be placed on augmented reality. This can be seen from the diagram above.
The blue graph is revenue from services, content and glasses that create augmented reality. We see that the share of virtual reality in revenue is much smaller, although for now it is the main hype that creates it.
The projected gigantic market size creates enormous opportunities for creating your own business. Let's remember Apple and their mobile applications: the iPhone revolutionized the smartphone market. Who earned the most? Developers who began making applications for smartphones. Since the application market was very small, there was a large demand for them due to the distribution of these devices. Almost everything that came to hand was bought and downloaded - games that had previously seemed completely impossible could be played. Due to high demand and small supply, an asymmetry was created in the market, on which smart people made money.
Investments in virtual and augmented reality
Investments in the industry are growing, and several peaks can be observed.
First small peak: Facebook buys Oculus in the first quarter of 2014. The next jump occurs in the first quarter of 2016 - the peaks are largely due to investments in Magic Leap (more than $1.5 billion were invested in it by Andreessen Horowitz, Kleiner Perkins, Google, JPMorgan, Fidelity, Alibaba). All the major players have moved into this area: Google, Apple, Samsung. Now it’s not just hype; market players and analysts are confident that this technology will take off. The only question is who will collect the cream.
The projected level of revenue from sales of content and products in virtual reality is $30 billion by 2020, in augmented reality - $120 billion, the breakdown by area is shown below in the diagram. 
Startups in this area are already exiting through the purchase of shares in companies by other players. Below are examples of large exits.
Where is the money in virtual and augmented reality
About interesting markets for investing - at the beginning of the text: these are medicine, engineering, military-industrial complexes, as well as training and education. Conceptually, the money in VR/AR, in my opinion, is “buried” at the intersection of expertise in the technology itself and industry expertise.
As seen in industry revenue forecasts, a significant portion of expected revenue comes from hardware and content. VR/AR startups are mainly divided into these two areas. The main advantages and pitfalls of each area:
Content:
Low barrier to entry, but highly dependent on the niche.
- Entertainment content is an area in which mostly beginners in the industry try themselves. But the main difficulty in game development is that it is difficult to predict success; in fact, it is roulette.
- Educational content - the business model in this area is complex because it is difficult to scale.
- Educational content that really brings an effect is really interesting for an investor. Especially in b2b, if the result of implementation for business is easy to calculate.
"Iron":
High capital intensity of R&D and market entry (exactly the story about Magic Leap with billions of dollars in investments in the absence of a product).
- The success of a product on crowdfunding platforms like Kickstarter and IndieGogo does not always predict great demand in b2c: you can end up with geeks and innovators, as happened with Ouya. The company raised about $10 million on Kickstarter, but ultimately failed, partly due to the lack of a large target audience.
- With all this, the projected level of income from hardware is quite high.
Startups in the fields of virtual and augmented reality are of interest to IIDF as potential investments. You can submit an application to the 12th Accelerator until March 6; startups come to us with a ready-made IT product at the stage from the first sales or users to a turnover of 5 million rubles. The potentially achievable market volume should be 300 million rubles per year in 3-5 years. Teams that pass the selection will receive pre-seed investments from the IIDF of 2.1 million rubles. and a chance to attract further rounds - including from other investors.
Everything you need to know about VR/AR technologies
Anastasia SkrynnikovaWhat are VR and AR?
Virtual reality is a world created by technical means, transmitted to a person through his senses: vision, hearing, smell, touch and others. Virtual reality simulates both exposure and reactions to exposure.
Augmented reality (AR - “extended reality”) - technologies that complement the real world by adding any sensory data. Despite the name, these technologies can both bring virtual data into the real world and remove objects from it. The capabilities of AR are limited only by the capabilities of devices and programs.
It’s worth immediately clarifying the difference between AR and VR:
VR blocks out the real world and immerses the user in a digital universe. If you put on a headset and instead of the living room you suddenly find yourself in the thick of a fight with zombies, then this is VR.
AR adds elements of the digital world to the real one. If you're walking down the street and suddenly the Pokemon Dragonite appears on the sidewalk in front of you, then it's AR.
Augmented Reality Example: Pokemon GO
History of AR/VR
It is generally accepted that the development of virtual reality began in the 50s of the last century. In 1961, Philco Corporation developed the first Headsight virtual reality headsets for military use, marking the first real-life application of the technology. But based on today’s classification, the system would most likely be classified as AR technology.
Morton Heilig is rightfully considered the father of virtual reality. In 1962, he patented the world's first virtual simulator called Sensorama. The device was a bulky device, reminiscent of the slot machines of the 80s, and allowed the viewer to experience an immersive virtual reality experience, such as riding a motorcycle through the streets of Brooklyn. But Heilig’s invention aroused distrust among investors and the scientist had to stop development.
"Sensorama" Heilig
A few years after Heilig, a similar device was introduced by Harvard professor Ivan Sutherland, who, together with student Bob Sproull, created the “Sword of Damocles” - the first virtual reality system based on a head-mounted display. The glasses were attached to the ceiling, and a picture was broadcast through the computer. Despite such a cumbersome invention, the CIA and NASA became interested in the technology.
In the 80s, VPL Research developed more advanced virtual reality equipment - the EyePhone glasses and the DataGlove glove. The company was created by Jaron Lanier, a talented inventor who entered university at the age of 13. It was he who coined the term “virtual reality”.
Augmented reality went hand in hand with virtual reality until 1990, when scientist Tom Caudell first coined the term “augmented reality.” In 1992, Lewis Rosenberg developed one of the earliest functioning augmented reality systems for the US Air Force. Rosenberg's exoskeleton allowed the military to virtually control vehicles from a remote control center. And in 1994, Julie Martin created the first augmented reality theater called Dancing in Cyberspace, a production in which acrobats danced in virtual space.
There were other interesting discoveries in the 90s, for example, Australian Julie Martin combined virtual reality with television. At the same time, the development of gaming platforms using virtual reality technologies began. In 1993, Sega developed the Genesis console.
At the demonstrations and previews, however, it all ended. Games with Sega VR were accompanied by headaches and nausea, and the device was never released for sale. The high cost of devices, poor technical equipment and side effects forced people to temporarily forget about VR and AR technologies.
In 2000, thanks to the addition of AR technology, Quake made it possible to chase monsters through real streets. True, it was possible to play only armed with a virtual helmet with sensors and cameras, which did not contribute to the popularity of the game, but became a prerequisite for the emergence of the now famous Pokemon Go.
The real boom began only in 2012. On August 1, 2012, a little-known startup Oculus launched a fundraising campaign on the Kickstarter platform to raise funds for the release of a virtual reality headset. The developers promised users a “full immersion effect” through the use of displays with a resolution of 640 by 800 pixels for each eye.
The required $250,000 was raised within the first four hours. Three and a half years later, on January 6, 2015, pre-sales of the first mass-produced consumer virtual reality headset Oculus Rift CV1 began. To say that the release was expected is to say nothing. The entire first batch of helmets was sold out in 14 minutes.
This was the symbolic beginning of the boom in VR technologies and the explosive growth of investment in this industry. Since 2015, virtual reality technologies have become a truly new technological Klondike.
What is happening in the virtual and augmented reality market in the world
Although virtual reality capabilities are not yet available to the mass consumer, well-known companies are actively developing these technologies.
The owner of Universal Studios, Comcast, invested $6.8 million in the small VR studio Felix&Paul in Montreal, which has worked with Funny or Die and the White House.
The New York Times is also investing in the development of virtual reality. Many publications have already created 360-degree videos that win the Cannes Lions festival.
The Russian virtual and augmented reality market is mostly represented by small companies that make projects based on foreign developments (Oculus Rift, HTC Vive). Such, for example, is the company AR Production, which appeared on the market in 2011 and makes projects for various companies - including the Museum of Augmented Reality, booklets with augmented reality for Gazprom and a virtual excursion for the Kuban agricultural holding.
But not all companies want to build a business based on the developments of their Western colleagues. Thus, the Russian company Boxglass not only shoots videos in 360 format and develops AR/VR applications, but also produces its own virtual reality glasses.
The company VE Group works even better - founded about 10 years ago, it calls itself a system integrator in the field of 3D visualization and virtual reality systems. In addition to developing virtual research centers and VR rooms, the company makes VR solutions for the oil and gas industry, education and construction.
The virtual reality market in Russia is also well represented by startups, large and not so large. Among those who definitely succeeded, we can highlight the startup Fibrum, which last year agreed with the German retail chains Media Markt and Gravis to supply its virtual reality helmets. Another interesting project is the LiveMap augmented reality motorcycle helmet, the final version of which will be presented at CES 2018.
This is what a VR helmet from Fibrum looks like
Read more about the AR/VR market in Russia in Rusbase materials:
Investors in the VR and AR market
What is the easiest way for a startup to find funds to develop a project? Of course, attract an investor.
If you have created (or just want to create) a VR startup and are looking for investors in Russia, then you should pay attention to the VRTech fund, which was founded in 2016 and is focused on early-stage VR projects from Russia, America, Europe and Asia.
Read what investors think about AR/VR in Rusbase materials:
Using virtual and augmented realities
Virtual reality is an industry in which infrastructure and technology are developing in parallel with the development of content. After all, if there is a helmet or virtual reality glasses, there must be something to look through and do through them.
Therefore, we can identify several main directions for the development of the industry, depending on the content and scope of application:
- movie;
- broadcasts and shows;
- marketing
- education;
- and real estate;
- and military industrial complex.
There is a detailed market overview for each of these items. Below we talk about how specifically VR and AR technologies are used in different industries.
If you carefully read the part devoted to the history of virtual reality, then you already know that development began primarily for military use. Since then, VR developments have become better and are now beginning to be used not only in military affairs, but also in other areas. For example, for the treatment of mental disorders. Experts from Harvard University have published a paper that examines the effectiveness of modern VR methods for the treatment of mental illnesses, and especially anxiety neuroses and phobias. And last February, a group of scientists from the UK and Spain demonstrated its effectiveness using virtual reality.
Perhaps the most useful VR developments are being made in medicine. Medical students no longer need to hone their skills on cadavers, but instead have virtual simulators with haptic feedback. This is what a simulator for surgeons based on virtual reality looks like:
There are also interesting solutions for virtual and augmented reality in marketing. And if you think marketing and advertising are just a waste of time and money, take a look at the Bill Clinton Anti-Poverty Foundation's Inside Impact project. To raise money for development in East Africa, the foundation created a film shot with a 360-degree camera. When watching, viewers find themselves in Kenya with Bill Clinton and his daughter Chelsea. Raising the topics of HIV/AIDS, malaria, the lack of maternity hospitals and the prospects of solar energy, the viewer is practically led by the hand through the streets, schools and other institutions, involving and pushing towards empathy.
Is VR the future of the porn industry?
Virtual reality items
We consider VR items to be all devices that we use to immerse ourselves in the virtual world. It can be:
- Virtual reality suit
- VR glasses
- Gloves
- VR room
Virtual reality suit- a device that allows a person to immerse himself in the world of virtual reality. This is a suit that completely isolates from the outside world, inside which there is a video screen, a multi-channel acoustic system and electronic devices that affect the nerve endings of the skin, causing the illusion of touch or, for example, blowing wind.
Currently, the manufacture of such a suit is impractical due to its high cost, so for partial immersion in virtual space, a virtual reality helmet and gloves are usually used.
However, the haptic virtual reality suit is quite worthy of the title That is, including all types of skin reception, due to the work of which a tactile image is built suit from an American startup
Augmented and virtual reality today are the best intermediaries between information about a product/service and the consumer. But it is important to understand the differences between these technologies and what impact they have on people in order to get the expected marketing response.
To surprise, evoke a storm of emotions, interest from the very first second of interaction, delight, immerse in new worlds and spaces - this is the marketing trend of the 21st century. Our reality has not surprised anyone for a long time. Therefore, it needs to be transformed. How? Using augmented and virtual reality.
We offer the latest developments in the field of high technology, create augmented, virtual, mixed reality, because we know that only the WOW factor completely immerses a person in new information. Our task when working on projects is to leave a strong emotional impression and create lasting loyalty to our Customer’s brand.
The key feature of “Design Dossier” is to expand the capabilities of interactive marketing and complement existing interactive technologies with innovative capabilities. When creating life in a virtual world or a world of augmented reality, Design Dossier specialists first of all take into account the Customer’s marketing goals and objectives, choosing the most effective solution.
Augmented reality at the stand of the Moscow Government at the industrial exhibition Hannover Messe 2016
What is augmented reality (AR) and how does augmented reality differ from virtual reality (VR)?
Augmented reality (AR, “extended reality”, “improved reality”) is a technology for adding, introducing virtual information into real life, into the three-dimensional field of human perception, which is perceived as elements of real life. That is, imagine, you point your tablet at a flat drawing, and you see that the picture comes to life in the literal sense of the word. That is, your reality is complemented by virtual images. This is augmented reality.
Augmented reality and virtual reality are not the same thing. These are different production technologies, and the effects of using AR and VR are different.
The process of creating augmented reality. Children's books and magazines
Augmented reality is when objects are placed into everyday life in real time using special software. With high-quality content, a person blurs the line between reality and the artificially created world. In virtual reality, a person clearly distinguishes between the boundaries of the artificial world and the real one. A person abstracts from the real world at the moment of interaction with the virtual one.
A virtual reality (artificial reality, electronic reality, computer model of reality, virtual reality,VR, 3d virtual reality)- an artificially created world into which a person is immersed. However, when you enter the virtual world, you understand that you are in an artificially created space, that is, you are able to separate reality from virtuality.
According to analytical forecasts, the global augmented reality market will grow to$5,155.92 million by 2016.As for virtual reality, according to BI Intelligence, the total number of shipments of VR systems from 2015 to 2020 will grow by 99% annually.By 2020, the VR market will be $2.8 billion. Demand for content for VR systems will grow along with the gaming industry. Virtual reality will be an important platform for streaming and e-commerce.
Virtual tour of the Digital Business Space (DBS), 2017
Augmented and virtual reality to order
Working on the creation of augmented and virtual reality requires serious professional skills, experience and the availability of high-tech resources and equipment. We are actively promoting virtual and augmented reality technologies on the domestic market, so we have experienced specialists and all the necessary technical equipment.
We solve problems of any complexity, carry out turnkey projects: concept development, script writing, content creation, technical preparation and implementation of the project on site. We develop projects to create augmented reality both for use with augmented reality glasses and for IPhone, iPad, and other gadgets with AR augmented reality functions.
We develop content for creating a virtual world for VR virtual reality glasses.
If you are not sure and do not clearly know which technology - 3d Virtual reality (VR) or ar augmented reality (AR) - is best suited for you to implement your marketing tasks and business goals, we will analyze together with you, based on the technical specifications situation and we will offer you the strategically optimal solution and take over the entire implementation.
https://youtu.be/E8X2JlHRka8
360 degree virtual tour of the exhibition “12 Centuries of Fishing” 2018
What is the cost of developing augmented and virtual reality and what are the stages of work?
The cost of implementing each project is calculated individually based on the technical specifications or brief provided by the Customer or jointly developed.
When determining the cost of a project, factors such as:
- Software development cost.
- The cost of design development (rendering 3D models, interfaces, animation, etc.) depends on the complexity of the script, the quality of character drawing, and graphics features.
- The cost of renting equipment for augmented or virtual reality (based on the number of shifts).
- Cost of technical personnel on site.
Augmented reality “Moscow Festivals”, “Golden Autumn”, 2016
Stages of work on a project to create VR, AR
- Technical task
- Concept and development of the script
- Low and High Detail Prototyping
- Application design and preparation of 3D models
- Programming
- Creating a reference point (label)
- Testing
- Finalization
- Launch of the project
Usage augmented reality technologies andvirtual reality development to achieve business goals - the most effective and promising tool for a modern marketer. The possibilities of virtual space and augmented reality prove that interactive interaction technologies are the best intermediary between information/product/service and the consumer.
We create worlds of both virtual and augmented reality of any complexity. Imagination, creativity, talent and innovative technologies of the latest generation allow us to create virtual illusions and augmented reality for the Customer in strict accordance with business goals.
WE MAKE NEW TECHNOLOGIES AN ACCESSIBLE AND EFFECTIVE MARKETING TOOL!
360 degree virtual tour “Smart Park” in Gelendzhik, 2018
You can learn more about augmented reality (AR) technology
You can find out more about virtual reality (VR) technology and our projects
Perhaps most people today perceive virtual and augmented reality (Virtual/Augmented Reality) only in the context of the entertainment sector - video games, guidebooks, films for adults, etc. Undoubtedly, entertainment applications will make up a significant share of the VR/AR market, but the total share of business -applications, according to Goldman Sachs, by 2025 there will eventually be more applications - about 60%. That is, these are not exotic at all, but quite “workhorses” that can already significantly improve many business processes.
Augmented reality appeared on the radar of Gartner analysts in 2005. Back then, they promised that it would take 5-10 years before this technology would become mainstream, and it looks like the forecast is coming true. The first commercial virtual reality headset, Virtuality, was developed back in 1990, but then the industry as a whole was not ready for such a breakthrough and this technology was forgotten for almost twenty years. On the Hype Cycle, virtual reality appeared in 2013 - immediately in the “valley of disappointments”, and by 2015 it began to climb onto the “slope of enlightenment” (Slope of Enlightenment is when everyone already understands what it’s about, but has not yet used it).
Make no mistake, both of these realities will reach a productivity plateau, because big vendors have entered the game - Google, Samsung, HTC, Sony, Microsoft - they will certainly “push” the mass market and now it’s just a matter of business cases and specific solutions.
In principle, VR/AR technologies have reached an acceptable level of maturity for use in production, so now is the time to think about their use in your business - in order to have time to skim off the cream. Perhaps augmented reality will have a greater impact on the mass market than virtual reality, if only because you don’t have to buy a special helmet. On the other hand, Samsung Gear VR for $99 or even for $15 Google Cardboard, which is inserted into a regular smartphone, make virtual reality quite accessible.
Very different, but close reality
Even though virtual reality and augmented reality are technically very different, they are often mentioned in pairs. The reason for this is the level of immersion and novelty of the experience received by the user - in both cases it is a completely new sensation, incomparable to simply viewing images on a screen. But there are also differences between them: in augmented reality the user constantly remains in contact with the physical world, although he interacts with virtual objects, while in virtual reality he is in a completely simulated space.
There are also scenarios where the combined use of AR and VR gives a very interesting effect, for example, in the maintenance of complex equipment (more on this below). That is, these technologies are quite complementary, even the development tools are often the same - both types of alternative reality are based on 3D modeling engines and game mechanics. The most popular among developers right now is the Unity toolkit, which has captured 45% of the global market for full-featured game engines, which is approximately three times more than its nearest competitor.
TO common features include the fact that VR/AR applications are rapidly developing primarily on mobile platforms. For AR mobility is needed definition - do not ride behind you on cart a whole computer to explore the real world. For high-quality operation of a VR application, it is still preferable to have a helmet like Oculus Rift or HTC Vive connected to powerful desktop computer, but someday engineers this limitation can be overcome. Although it cannot be ruled out option for connecting a person to virtual reality as shown in movie "The Matrix" because it may require too much computing power.
In principle, the idea of using VR in many scenarios has been in the air for a long time, but is only now beginning to receive practical implementation. Fortunately, the moment has come when, thanks to the development of computer games, the consumerization of VR has occurred. Virtual reality devices and software have become available to ordinary consumers, and on this basis a wave of VR startups has appeared, offering all kinds of products. Since 2012, about $1.46 billion has been invested in this area, and something useful will definitely come of it.
When you can’t keep up everywhere, you need avatars
There have always been not enough good specialists capable of servicing complex equipment, and now the problem has only worsened - the quality of education is falling, and the number of supported systems is growing. Teleportation had not yet been invented, cloning was banned, so your best specialist has to constantly wander from one object to another - after all, you can’t explain everything to the technician from the duty shift over the phone, you still need to see for yourself what’s wrong.
Augmented reality allows an experienced engineer to use the eyes of a remote partner to figure out the cause of a failure and his hands to fix the system. There is a fundamental difference here from a video call - firstly, you can transmit an image at a much lower frequency, which allows you to work on weak communication channels; secondly, the system can recognize structural elements and equipment components and display various information from the database in connection with them, find the corresponding sections in the documentation or use graphic markers that explain what to do. For example, “unscrew these screws first, and then replace that board.” That is, you work not just with a picture, but with a 3D model, a database and an interactive environment, which significantly expands your capabilities.
In another option, implemented by the Octopod company from St. Petersburg, an engineer, while in the office, uses a virtual reality helmet to examine a remote object and give instructions to his “avatar” exactly where to stand and where to look in order to get to the desired valve or switch. If your equipment is smart enough, then they are equipped with various sensors, the readings of which can be displayed not only on the dashboard, but also transmitted over the network. Then the virtual model completely “comes to life” - all the lights and arrows on the devices will show the same thing that the technician sees when he is next to these devices.
This scenario is relevant for all industries where there are tasks of maintenance and repair of complex equipment - telecom, air navigation, elevator facilities, machines and units in production, transport, power plants, drilling equipment, etc., etc.
To keep your hands free for useful work
A person wearing Google Glass in a public place looks quite foppish, because he most likely has no practical need to wear them. But it's a completely different matter when the augmented reality glasses are worn by a warehouse worker picking orders for a delivery service. It is extremely important for him to free his hands in order to maintain a high pace of work.
A similar scenario was implemented by the French company Generix for the large European auto parts supplier Oscaro.com, which ships 20-25 thousand orders daily with only 300 workers. Of course, no one here has been working with paper documents for a long time, but mobile terminals, widely used in logistics and retail, have become a hindrance to increasing productivity. As a result, the workers were given augmented reality glasses connected to the warehouse system, from where the next task comes. The mini-display shows the worker instructions on where and what goods to take; the built-in camera recognizes barcodes and records when an object is placed in a container. The inverse task is also implemented - if you need to distribute spare parts to shelves in a warehouse, the system will tell you what to put where.
Generally speaking, the robotization of such tasks suggests itself - a person in this circuit works only as an actuator. This may not even be in the very distant future, but nothing will change for the control system if human workers are replaced by robots, so investments in their development will be protected.
See the building before it's built
The construction industry, where the penetration of BIM technologies (Building Information Model) is gradually expanding, looks like an ideal candidate for benefiting from the use of virtual and augmented reality - after all, the most labor-intensive part of a VR project is building a 3D model, and here it already exists a priori. All that remains is to import it into the VR application and voila! - you can walk around the future factory, shopping center, hotel or residential building.
Why might this be necessary: firstly, so that designers can better imagine the future object and avoid situations where the heating pipe is across the doorway - some errors may not be noticed in the drawing, but in virtual space this will become obvious; secondly, it may be easier to coordinate a project with a customer who does not know how to read drawings - let him put on a helmet and look with his own eyes. The result is a reduction in project risks by identifying errors and clarifying requirements in the early stages, before the construction of the facility begins.
This case is so obvious that it is difficult to even settle on just one solution; almost all developers of architectural and construction design systems, led by Autodesk, are actively working in this direction.
Again, a combination of virtual and augmented reality may be interesting - you can control the progress of construction and the compliance of the building being erected with the plan if you tie your 3D model to the area and combine it with a real picture. If suddenly a window is out of place or the staircase does not lead where the drawing says, you will immediately see it.
Train virtually, work for real
A person can acquire some skills and become a real professional only after many hours of practice. But if a journalist needs only a laptop to practice writing articles, and bad texts can simply be erased, then a pilot or a surgeon has a much more difficult time - because it is not permissible to practice on machines costing hundreds of millions of dollars or on living people.
Even the cost of a novice worker’s mistake on an assembly line is high enough to think about the possibility of training on virtual objects - this is the least risky and most cost-effective option for developing practical skills in future specialists. Of course, virtual reality does not provide the full experience of assembling a complex product or performing an operation; it occupies an intermediate position between pure theory and real practice. Aviation has long understood this and trains pilots using special flight simulator complexes, since they could afford it technically and economically. Pilot experience is now measured in flight hours. Perhaps it should be taken into account, albeit in a separate line, the number of hours “flying” on the virtual simulator. Or the number of virtual surgeries performed by a doctor,
You should not look at virtual reality only as an ersatz of traditional learning. Using a VR simulator, you can simulate a variety of critical situations that may never happen in real life, but the specialist must be prepared for them. This training is needed by all emergency services workers, air traffic controllers, duty shifts at power plants and many others. Even in sports, VR is used - the company STRIVR has developed a system based on Oculus Rift for training American football players. During the game, 360-degree panoramic filming is carried out, and afterward, athletes can re-immerse themselves in the past match and work out all their mistakes.
Toyota, as part of the TeenDrive365 project, which aims to improve driving safety for teenagers and their parents, has developed a special simulator based on Oculus Rift that shows the risks of driver distraction while driving. Typical situations are recreated in virtual reality - when someone talks loudly in the salon, turns on music, or a mobile phone rings. In this case, a person sits in the driver’s seat in a real car and “drives” it using the steering wheel and pedals. Unfortunately, small events that distract the driver often cause accidents.
Charm the buyer
A person is designed in such a way that he wants to take a better look and preferably touch the thing he is going to buy. Virtual reality cannot yet reproduce tactile sensations, but it allows us to cope with at least the first task - you can show the product to a future buyer, providing the effect of presence. Unfortunately, creating a high-quality 3D model of an object is still quite expensive, so it is logical that sellers of expensive goods - real estate and cars - first of all grabbed the new opportunities.
With cars it’s a little easier, because a 3D model is necessarily created during the design process and you just need to export it from a CAD system to VR and make a simple application for viewing. This will allow dealers to show the client any model in any configuration, and not just what is in the showroom. At least Ford and Audi announced this; other manufacturers will undoubtedly follow suit.
If we talk about the secondary market in the real estate market, then you most likely will not have a ready-made 3D model. In this case, multi-angle photography is done, on the basis of which a model is then created, or laser scanning of all rooms is performed. As a result, a potential client gets the opportunity to take a virtual tour of the house, cottage or apartment that he is offered to buy, and not waste time on unnecessary trips. This also saves agents from a lot of ineffective showings and allows them to work more effectively with those who are really committed to buying. For example, agents at Sotheby's Internatonal Realty use Samsung Gear VR to show clients expensive homes in Los Angeles and New York. 3D scanning of one house costs approximately $300-700, which at a price of several million seems like a small expense, but allows you to give the buyer a complete impression of the property.
VR/AR will disrupt mobility
Analysts predict that by 2020 the virtual and augmented reality market will reach $150 billion. Possibly. However, the numbers are not that important, they could end up being anything. Another thing is important here: in relation to mobility (in the form in which we now know it - all these smartphones and tablets), VR/AR technologies are a “disruptive” innovation.
At this year's Mobile World Congress (MWC) in Barcelona, there were huge queues at every VR booth. The Mobile Congress is not a consumer exhibition; only professionals from the field of mobility and telecoms gather there. And yet, virtual reality has caused such a stir. It is quite obvious that these technologies will become mainstream over the coming years - so it’s time to launch projects so as not to miss the next wave of progress.
Increasingly, virtual and augmented reality are becoming a topic of discussion. Which of these two technologies will benefit larger companies more? First, we should remember what virtual and augmented reality are and how they differ.
Augmented reality is achieved through technologies that supplement the vision of the real world with computer-generated information.
A good example of augmented reality is Google Glass - smart glasses that combine a touchpad, camera and LED display. Thanks to the display, Google Glass users have access to the Internet and services such as navigation and sending emails to addresses specified within view.
New generation devices, such as Microsoft HoloLens, open up truly magical possibilities:
Since this technology is based on a digital vision of the real world, more familiar devices can be used to bring it to life: smartphones and tablets.
As the name suggests, the concept of virtual reality covers technologies that allow the user to interact with a virtual environment. Unlike augmented reality, the real world is absent here at all, there is no direct or indirect contact with it - everything that the user sees, hears and feels is a computer program.
The Oculus Rift, owned by Facebook, is one example of a virtual reality device.
How do companies use this?
Since smartphones and tablets can be used to create augmented reality, there are many examples of large companies using AR.
In 2013, supermarket chain Asda turned to augmented reality to organize a Halloween Hunt event, where children had to use the special Asda app and complete a quest in the supermarket building, moving from point to point.
Also in 2013, IKEA launched an application for iOS and Android, allowing customers to use a camera to imagine how IKEA furniture would look in their homes.
Over several years of using augmented reality technology, a specific practice of its application has developed, which has made it easier for large companies to develop and debug relevant applications.
Virtual reality is developing more slowly, because it is less often used in practice, but the number of examples is still growing steadily. Brands Tommy Hilfiger and Thomas Cook are actively introducing VR with devices such as the Oculus Rift and Samsung Gear RV.
Boursin, famous for its cheeses, combined virtual reality, computer graphics and real products to create its own unusual roadshow.
Technology potential
Thanks to the growing power and accessibility of smartphones and tablets, companies of all industries and calibers are opening up vast opportunities to create high-quality and sophisticated augmented reality today.
Virtual reality is not yet so accessible and perhaps its time has not yet fully come, but there are already numerous ways in which VR can be used by various companies, and at times it can even play a decisive role in the market.
For example, brands in the travel and hospitality industry, including major hotel chain Marriott, travel agency Thomas Cook and Qantas Airways, have already begun experimenting with next-generation VR devices, and in some cases, virtual reality has the potential to revolutionize the way such companies sell services. .
Which is better: AR or VR?
Where should companies set their sights - on augmented or virtual reality? It all depends on the tasks assigned.
Undoubtedly, AR today is more accessible: there are many possibilities for creating augmented reality, and a regular smartphone and tablet will be more than enough, and the application itself is easy to distribute through popular services.
VR, in turn, is arousing increased interest, but so far companies are not always able to find use for it. Even though the Oculus Rift, Samsung Gear VR and other devices are already available for sale, they are still far from the mainstream.