'Weak Demand' for VR and AR Causing Concerns for Companies Investing in the Technology
Sales related to virtual reality and augmented reality products "have been weaker than expected," according to data collected by a number of market research firms and shared by DigiTimes.
A lack of content and expensive prices, specifically for VR headsets, are two factors said to be at the center of the weak demand for the technology as 2016 closes out. The results could potentially have a negative effect on companies investing in VR and AR technology development, including Apple.
The market watchers noted that Sony's PSVR, Google's Daydream View, HTC's Vive, Samsung Electronics' Gear VR, and the Oculus Rift all ended up with sales figures weaker than their initial expectations. Coming out of Black Friday and Cyber Monday last week, the research firm SuperData noted that VR headsets have been "the biggest loser" this holiday season.
Because of the slower-than-expected consumer adoption of each technology, companies rumored to be investing in VR and AR products are believed to be feeling "pressured" about such investments. Specifically, HTC was noted as "seeing decreasing share in the worldwide smartphone market" while waiting for its Vive headset to contribute profits.
Many research firms' numbers also have shown that VR product sales in 2016 have been weaker than expected due to lack of content and high product costs. VR/AR technologies also require more improvement in order to stimulate demand from both the consumer and enterprise sectors.
It will take more time before the VR/AR market may begin enjoying robust growth, and such a slower-than-expected development is putting pressure on firms that have invested resources into related development, such as HTC, which is seeing decreasing share in the worldwide smartphone market while its Vive has yet to start contributing profits. The year of 2017 could be a difficult one for HTC.
Although Apple's relation to such technology has leaned more towards an AR experience -- most recently suggesting a feature that would be integrated into the iOS camera app -- the company has been rumored to be developing a full-on VR headset as well. If included in pre-existing apps within iOS, an augmented reality experience by Apple would be less risky for it to undertake, but some rumors also point towards a separate product category coming down the line.
It's unclear when Apple's decade-long investment in VR/AR development might come to fruition in a consumer product, but some basic AR experiences have already proven popular on the company's devices, including this summer's gaming phenomenon Pokémon Go.
Popular Stories
Apple is developing an all-new operating system codenamed "Charismatic," according to Bloomberg's Mark Gurman.
Apple smart home hub concept
This is likely Apple's long-rumored "homeOS" operating system.
In a report this week, Gurman said both Apple's rumored smart home hub in 2026 and tabletop robot in 2027 will run the new operating system. He said the software platform will blend...
Last week, Apple released and then pulled a software tool that accidentally contained identifiers for many unreleased devices and chips, according to MacRumors contributor Aaron Perris. His findings included new models of the Studio Display, Apple TV, Apple Watches, Apple Vision Pro, iPad mini, HomePod mini, and more.
Here is what was uncovered in the file, according to MacRumors contributor ...
The seventh developer beta of iOS 26 is now available. While we are now in the later stages of the iOS 26 beta cycle, there are still some changes.
Below, we outline everything new that we have found in iOS 26 beta 7 so far.
Redesigned Blood Oxygen Feature
The seventh developer betas of iOS 26 and watchOS 26 include a redesigned Blood Oxygen feature on Apple Watch Series 9, Apple Watch ...
Alleged images of the iPhone 17 Pro Max's internal design have surfaced, offering a potential look inside the device before it is announced by Apple next month.
The images were shared by the account "yeux1122" this week, in a blog post on the Korean platform Naver. The account aggregates Apple rumors and leaks, so it is likely not the original source of the images, and it is unclear if they...
Apple is expected to delay the launch of its base iPhone 18 model until spring 2027, marking a major shift in the company's long-established release cycle, according to South Korea's ETNews.
The report claims that Apple has informed some of its suppliers that the iPhone 18 will not be part of the September 2026 iPhone lineup. Instead, the company will unveil only higher-end models in the...
At least one new Apple Watch model launching next year will feature a "significant redesign," according to Taiwanese supply chain publication DigiTimes.
In a paywalled report this week, citing supply chain insiders, DigiTimes claimed that a high-end 2026 Apple Watch model will feature "exterior design" changes, including but not limited to "eight sensors arranged in a ring pattern visible...
As we wait for WWDC to kick off next Monday, Apple today announced the winners of its annual Apple Design Awards, recognizing apps and games for their innovation, ingenuity, and technical achievement.
The 2025 Apple Design Award winners are listed below, with one app and one game selected per category:
Delight and Fun - CapWords (App) and Balatro (Game)
Innovation - Play (App) and PBJ -...