Hong Kong, March 15, 2021 (GLOBE NEWSWIRE) — In many people’s minds, VA/AR technology is just emerging technology. In the future, it may be integrated into all aspects of our lives, including education, entertainment, shopping, and travel, just like the Internet. AR is the combination of virtual information and the real world, including both virtual and reality; while VR is immersed in the virtual world, with only the virtual. As for MR, it is an upgrade of AR, which strengthens the integration of virtual and real.
Generalized AR covers AR, MR, CR, and XR. Due to its openness, the future application and market space of AR far exceed VR. From the first day of their birth, VR and AR have had a great impact on the visual experience and interactive experience of the entire human society, especially AR.
In the past, our way of interacting was constantly changing. After the advent of the computer, the human-computer interaction was combined with the computer. Later, mobile phones and smartphones appeared, and a large amount of human-computer interaction was transferred to the mobile terminal. In terms of AR, it creates a new and more intuitive way to interact with computers and the real world. In the AR world, computer operations equal to familiar gestures and screen operations for people, and the concept of a virtual desktop no longer needs to be defined by the screen size of a physical display.
In view of this ease of use and wide application potential, we believe that AR technology has created a more intuitive, convenient, and rich information interaction channel, and it is very likely to become the next generation of human-computer interaction and computing platforms.
In the past ten years, AR has gradually shifted from a concept to real-world applications. It has experienced a budding and resurgence stage, and it is now approaching an explosion. The next five years should be a period of rapid development of AR from initial commercial use to the rapid popularization.
According to Statista’s forecast, the overall market size of AR will exceed $200 billion by 2022. In addition, DigiCapital and Goldman Sachs respectively predict that hardware, as the core foundation of the AR industry, will still occupy a large proportion in the next 5-6 years.
In the process of landing AR in commercial scenarios, it is believed that AR will be the first to develop in business scenarios, especially advertising, education, tourism, and entertainment. Their decision-making model is different from that of consumers; meanwhile, the real scene is relatively fixed, and the scene maturity is high.
In recent years, Snap’s revenue has continued to rise, reaching $911 million in the fourth quarter of last year, an increase of 62% year-on-year. It is reported that Snap CEO Evan Spiegel had optimistically predicted at the annual investor meeting that under good economic conditions, the company’s revenue will continue to grow in the next few years, and it is expected to maintain an annual growth rate of about 50%. At the same time, it will continue to optimize the content discovery function and the short video function, that is, Spotlight, to increase user activity and expand the exposure of AR advertising.
AR technology can meet a variety of needs such as customer service, advertising, data, and business, but the question now is whether the popularization of AR glasses is needed to promote AR business. At present, Snap’s strategy is to develop innovative technologies such as AR filters into a platform by providing creators and developers with tools, distribution platforms, and user groups. Currently, relying on Snap’s five major modules: filters, maps, chat, burn-in videos after reading, and short videos, have laid the foundation for building a platform.
According to Spiegel, AR entertainment tools are gradually upgraded to more practical tools, by using computer vision technology, the camera can solve mathematical equations, identify wine signs, and so on. Currently, more than 200 beauty brands have uploaded product codes to Snapchat.
In fact, the AR advertising market is still in its infancy, and Snap is one of its early promoters. At present, 35 million merchants have settled on Snap Map, and this model of combining commerce with LBS AR seems to have development potential. In addition, the application scenarios of mobile AR combined with e-commerce and retail are still in the development stage.
Besides, WIMI Hologram Cloud’s holographic AR advertising software allows customers to insert real or animated three-dimensional objects into video clips, and seamlessly integrate the objects with scene clips in the video, while advertisements are mainly inserted in film and television programs. Besides, WIMI is also vigorously introducing the AR marketing model on the development path of short video commercialization.
Compared with traditional digital advertising, holographic AR technology advertising is more interactive, cost-effective, and flexible. It can identify repeated advertising spaces suitable for multiple brand advertisements and save corresponding costs. The holographic AR entertainment products of WIMI include payment middleware software, game distribution platform, and holographic MR software. Payment middleware software mainly refers to the company’s software that can be fully integrated with various types of mobile applications.
Analysts predict that AR hardware, solutions, VR games, as well as AR/VR applications in vertical industries such as education, healthcare, marketing, and manufacturing will become the subdivision that capital will focus on in 2021. Leading companies in the three fields of terminal hardware developers, solution providers, and content data producers will become major capital attractors, and industry valuation levels will rise.
At present, the industry is in a period of adjustment, and the VR/AR hardware field attracts fewer investment. Only when brand manufacturers continue to develop and launch new products, more funds will enter the fields of content and application technology. Weibo and other institutions strategically invested $61.58 million in WIMI, once again allowing WIMI to attract public attention.
From the perspective of the value of the industry chain, WIMI Hologram Cloud plays the role of an intermediate supplier, connecting the SDK operating platform and application developers. Apple, Google, Baidu, JD.com, Alibaba, and Netease all have their own AR SDK platforms, while WIMI, as an intermediate platform, supplements the basic toolkit provided by the SDK platform, allowing users to complete software application programs more conveniently.
From the perspective of the business model, WIMI is a solution provider, which integrates applications, content, and services according to the real needs of downstream customers, and outputs complete solutions. Recently, WIMI won the bid for the second phase of holographic remote interaction between China Mobile and the media cloud platform. As a professional company for 5G communication holographic applications, WIMI has always been committed to independent R&D and investment in the core areas of 5G.
According to the introduction, WIMI Hologram Cloud was found in 2015. It focuses on holographic cloud services, mainly in vehicle-mounted AR holographic HUD, 3D holographic pulse LiDAR, head-mounted light field holographic equipment, holographic semiconductor, holographic cloud software, holographic car navigation, and other professional fields, covering multiple links of AR technology, including holographic vehicle-mounted AR technology, 3D holographic pulse LiDAR technology, holographic vision semiconductor technology, holographic software development, holographic AR advertising technology, holographic AR entertainment technology, holographic ARSDK payment, interactive holographic communication, and so on. It is a holographic cloud comprehensive technical solution provider.
Overall, AR is very likely to become an interactive method that will lead the next wave of business after computers and mobile phones. In the past few years, VR has had an investment boom, but at that time, due to insufficient hardware and underlying technology support, it experienced some bottlenecks. But even if there were bottlenecks before, we can still see that the industry has been developing steadily. With the popularization of the entire mobile Internet and 5G, AR will usher in a greater explosion in the future.
After computers and mobile phones, AR will lead the next wave of business. The maturity of AR-related basic technologies has fully reached the critical point of commercialization. The involvement of major manufacturers such as Apple and Huawei in the AR glasses market will call for the maturity of the related industry chain faster. AR glasses have both technical complexity and fashion characteristics, and it is difficult for a monopoly pattern to emerge in the subsequent commercial pattern. With the development of 5G and edge computing in the future, AR is very likely to enter the channel of rapid development.
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