MARKET USES

Gaming

• Most people remember the viral Pokémon GO as the first AR game in the industry. Oculus Quest was the first platform that built everything into one system. This game is expected to drive demand for VR gaming, and by the end of 2020, the revenue is estimated to reach $22.9 billion. Experimenting social gaming scenarios for both AR and VR is the focus of top development teams.
• This technology has great potential for companies in the gaming industry by either offering subscription purchases or by selling advertising sections to other brands. Additionally, this technology would be a great addition to arcade centers, as they can set up AR/VR escape rooms. Adding several rooms that are interconnected with a story line can be exciting to users, therefore, attracting customers. 
• VR games could also be used in the fitness market where people can use this technology to work out. Additionally, it could also be used to participate in sports, or even begin a major sports league. 

E-Commerce and Retail

• AR apps could drastically change the face of online and offline shopping, allowing customers to interact with various products. Companies can also create a personalized experience for each customer. This experience may be even more valuable than an actual visit to a store as one is able to see various features, elements, and details of each product, not only its price.
• The fashion and beauty industry is expected to lead this market by pushing the boundaries of retail visits.
•  eBay and IKEA already use AR in various tasks. eBay uses this technology to facilitate shipping and IKEA's Place App allows users to visualize how furniture will look in their homes before making a purchase. This can be done from the comfort of one's home.
• There is an increased demand for being able to experience various products before making a purchase. One example is how people may see how clothes would look on them before making an online purchase. This is great for brands because it speeds up the decision-making process, reduces the return-rate, and increases customer satisfaction. 

Tourism and Travel

• This industry offers several opportunities for the implementation of AR/VR technology because of the various activities and locations: transportation, hotels, tours, among others.
• One major factor to consider when traveling to new places is navigation. Google Maps' AR upgrade allows users to gather information and get directions by using the smartphone camera to identify the streets.
• Additionally, other GPS apps are able to translate signs that are marked with foreign languages, give tips/suggestions, and displays route options. These solutions are also made available for those accessing large in-door locations such as airports, train stations, offices, malls, and trade shows.
• Companies, hotels, and getaways can use 3D videos and VR experience to market themselves to potential customers, enticing them to purchase trips.

Education and Training

• AR and VR technology present unlimited possibilities that can drastically improve the teaching and learning process as it delivers realistic simulations within a safe environment.
• This platform allows students to experience 3D images, witness scientific breakthroughs, and even interact with various objects. Training simulators are already in use across various industries such as aviation, medical, military, among others. Using this platform reduces cost, boosts retention, and improves performance. Interaction with other students and educators via this technology enhances the experience.
• Institutions could add a AR/VR section that would capitalize on a 3D immersive experience from the content in books and the library's video content.

CHALLENGES

3D Design Interface

•  User interface design is one of the main hindrances to wide adoption of this technology. As this technology is fairly new, there are not enough experts/skilled people to overcome the obstacles faced by 3D interface design. The design process is difficult and expensive.
• Additionally, designers are faced with the challenge to reduce eye strain and sound disorientation that is caused by using these devices. This will discourage purchases and massive adoption.

Key Technology Elements Missing

• VR is still within a niche market, even though some products/companies have implemented the technology. The major constraint to entering the mainstream market is the lack of hardware that offers convenience and control. 
• Convenience in this context refers to access and availability of various options. Additionally, the cost and functionality of both hardware and software should be within reason. This means that it should be affordable and reliable.
• Customers will expect to have an immersive experience that they can control. At the moment, there are still challenges with movement and gestures that will need to be aligned to meet customers' expectations.

Smartphone Competition

• Before customers move to AR and VR, they will still default to using their smartphones because of its convenience and familiarity. For this reason, smartphone AR will most likely be at the forefront of this industry as the hardware is widespread and it has a strong developer base.
• With time, people may get tired of holding up their smartphone to activate the AR experience. This inconvenience could pave the way for hands-free AR HMDs. According to Gartner, it is only after 2020 that these devices are predicted to come into market.

Research Strategy

Case Study #1: Capital One

• Capital one has implemented the use of augmented reality by creating an app that is specifically tailored for car loans. The app, Auto Navigator, allows users to access the retail showrooms.
• When users point at a specific car, its details are displayed on the screen: model number, year, and make of the car. With this app, users can pre-qualify for a loan, which is customized based on eligibility, financial health, and preferences.
• This app and the car loan services offered by this bank was published in the US News site that provides insights into cars. According to a survey conducted by the bank, 86% of the respondents believe that technology has improved the search for a car and 78% believe that they are now more informed on the details/history of cars.

Case Study #2: Citi Bank

• Citi Bank has successfully made their trading process easier by implementing AR technology. A Holographic Workstation was designed to capture several pieces of real-time data and compare it to previous trends and records.
• The end-user here is the financial trader. Although most companies are implementing technology to enhance the customer interaction, some institutions like Citi Bank are improving their every-day activities.
• By incorporating various hardware like Microsoft's HoloLens, users can share the AR data to work in teams. Users give instructions to the system via voice commands. In addition to analyzing this data, this system can finalize trades and investments. 
•  This YouTube video posted on the bank's channel demonstrates how this technology works, and how it has made the process easier for traders.

Research Strategy

HELPFUL FINDINGS

Media/News Outlets Reporting on Elections

•  NBC News partnered with AltspaceVR, a virtual reality social network, to inform the public on the progress and process of the 2016 presidential elections in the US. This effort was aimed at bringing people together in a positive way.
• This was done by producing the NBC News Democracy Plaza at New York’s Rockefeller Center. This production included the presidential debate watch party, a screen for watching the live debates, a map, and appearances of the network's journalists.

A Tour of the White House

• Before their departure from the White House, Barack and Michelle Obama hosted a tour. This was a 360 degrees recording that anyone could step into with a headset. This was a peek behind the scenes of a politician.
• This experience revealed the human side of political leaders, making them more relatable to the average person. It brings the White House to those that may never step into it.

Privacy and Security

• As consumers realize that businesses are profiting from their personal information, they are taking steps to maintain privacy and control. New legislation attempts to curb the effects/impacts of this vice.
• In Europe, General Data Protection Regulation (GDPR) ensures that companies are held legally responsible for the information that they collect from customers/users. This new legislation also applies to business-to-business (B2B) enterprises.  
• VR and AR devices are able to record the user's eye movements, geographic location, and behavioral data. This information is sensitive and will require strict regulation as it posses a threat to users.
• Living online and virtual lives exposes users and the society to hackers and wrongdoers. Security concerns include loosing money/theft, identity theft, and causing physical harm. For these reasons, cybersecurity should be on the radar of any company choosing to implement these technologies.

Research Strategy

Personal Computer (PC)/Console/Smartphone

• This hardware device is used to process input and output and to power the production. This is a vital part of VR systems as it powers the content creation as well, which is what users see in the virtual world.
• Although the hardware would be considered easy to find, the catch here is the VR content. More information on the challenges related to VR mass adoption is presented in a research task within this project.

Input/Output devices

• The user immerses into the virtual world using input devices. These devices capture information from the user and transfer it into the computer/computing device. The output on these devices attempts to make the interaction intuitive and natural.
• The current technology has not yet been able to achieve a completely natural feel yet. The most common input devices here include "joysticks, force Balls/Tracking balls, controller wands, data gloves, trackpads, on-device control buttons, motion trackers, bodysuits, treadmills and motion platforms (virtual omni)." 
•  Output devices include visual, auditory, or haptic displays. These devices are used to display the VR content to the end user within the virtual world. Just like input devices, these devices are yet to stimulate human senses.
• One example of an input/output device is discussed below.

Mixed Reality HMD

• This device is a Binocular HMD that has a lot more sensing ability. Examples here include the Microsoft HoloLens, Meta Space Glasses, and one from ODG. This is a stand-alone system that has a great display and can render 3D on-board. This system can analyze one's physical surrounding using depth sensors.

BRANDS AND DEVICES

Google Cardboard

• The greatest advantage of this device is its low cost. Additionally, it offers portability, it is wireless, and broad hardware support. This device uses the phone's gyroscopes for a 360 degrees rotation. Although a PC may capture the VR content better, the advantage of using a smartphone is the benefit of being untethered.
• This system costs between $5 and $20, inclusive of an iOS or android smartphone.

Google Daydream

• This device is built using a fabric-like material and has a motion controller that has a trackpad and buttons. This device has a superior display when compared with the Google Cardboard.
• This device works with specific phone types. It costs $79 and comes with a Google/Android smartphone.

HTC Vive

• This device uses the HTC smartphone panels. The best experience is when one works through a four-meter by four-meter area meter area or larger. Although it has its own proprietary wireless controllers, additional devices such as gamepads and joysticks can be incorporated.
• This device will cost $599 and an additional $800 for a VR-ready PC.

Microsoft’s HoloLens

• This system still allows users to see the world they are in through the HMD's semitransparent optics. 
• When engaging with the device, it first scans the environment and creates a 3D replica. This feature is critical as the objects within the VR setting can interact with objects in real life. 
• Users can walk within the 30 meters by 30 meters area, untethered. This interaction with the physical world makes it feel natural.
• The cost of the development edition is $3000 and the commercial suite costs $5000.

Research Strategy

NEXT/NOW

• This company is a digital experience studio that has won several awards and gained recognition in the tech industry. The team has diverse skills ranging from video game developers, brand architects, exhibit specialists, and computer scientists.  
• This company has worked with brands such as UnderArmor, McDonalds, Mike's, and MOEN on virtual reality projects.
• This company is located in Chicago, Illinois. 
• The estimated minimum project cost is $50,000 and their average hourly rate is $100 to $149.

4Experience

• 4Experience aims to revolutionize how brands/companies interact with their customers, and to be a global leader in this endeavor. This B2B company uses its team's passion to solve real-life challenges by working closely with their clients and partners. Products and services are developed with a global mindset.
• This team is highly collaborative and synchronized, producing results that would not be possible to do as individual experts. Teamwork ensures that the best and most effective solution is implemented.
• The team comprises developers that are skilled in VR content development, Videos 360, and AR content development. The percentage of the team that is skilled in these ares is 91%, 72%, and 89%, respectively.
• This company is located in Bielsko-Biała, Poland.
• The estimated minimum project cost is $5,000 and their average hourly rate is $25 to $49.

CemtrexLabs

•  CemtrexLabs aims to enhance the interaction between people and brands by doing things differently. The company aims to solve challenges that will arise in the future by disrupting the status quo, by arming brands with digital revolution.
• The design process has four stages: discovery, design, development, and deployment. At the first stage, the company draws out a road map and strategy documentation that is built from the company/client/brand goals.
• The second stage determines the flow design and wire frames that are critical in developing technical architecture documentation. The third stage consists of two-week sprints and a complete website/mobile app MVP, which ensures that the client is informed on the progress and involved in the process. The last stage comes with free support for two-weeks after completion and additional support options beyond that.
• The company is located in Brooklyn, New York and is estimated to have 273 employees. 
• The estimated minimum project cost is $10,000 and their average hourly rate is $50 to $99. 

Treeview.studio

• This company believes in experience, whether real or created. As history has shown us, the future is always in the hands of creatives who are daring enough to push the boundaries and venture into uncharted territories. As technology improves in this age of experience, technology will allow humans to immerse themselves into different experiences.
• The services offered include XR Development, 3D & UI/UX Design, and project management. This company is laser focused on developing software for XR technologies such as coding, design, and project management. These services are exclusively for VR, AR, and MR projects.
• This company is located in Montevideo, Uruguay.
• The estimated minimum project cost is $25,000 and their average hourly rate is $25 to $49. 

Research Strategy