Many popular technologies today are the product of several technological and economic factors coming together at the right time. A recent example is the rise of generative AI, which has quickly transitioned from an emerging technology to a mainstream phenomenon, leading to revolutionary changes in various industries and societies.
Similarly, Extended Reality (XR), including augmented reality (AR), virtual reality (VR), and mixed reality (MR), has long been touted to transform immersive experiences on devices. While consumer adoption is steadily increasing, the real impact of XR to date is seen in a variety of business use cases, including training, production, communications, content creation, and retail.
According to the PWC ‘Seeing is Believing Report’, growing corporate adoption of XR technologies could increase global GDP by $1.5 trillion, which is almost 2 percent of total GDP. By integrating XR into their processes, companies will see significant productivity and efficiency improvements, along with significant time and cost savings.
While challenges still exist around the wider adoption of XR, the technology industry is making great strides to address these, paving the way for also for consumers.
Senior Director, Consumer Computing Segment, Client Line of Business at Arm.
The XR challenges and how the industry is tackling them
One of the key computing challenges at XR has always been meeting the energy efficiency requirements of small, always-on portable devices. Some early portable XR devices suffered from short battery life while untethered, limiting their usefulness for long-term use. The industry has responded by investing in advanced battery technologies and power management systems, leading to more efficient, longer-lasting XR wearables.
Early portable XR devices also faced security and privacy challenges. Initially, companies were hesitant to adopt the devices due to potential vulnerabilities in data processing and encryption. However, thanks to the integration of improved encryption protocols and secure data management practices, XR devices are now much more secure and secure. The security enhancements allow companies to integrate XR technologies into their operations with more confidence, knowing that sensitive information is well protected.
The final challenge was the lack of ecosystem support for XR technologies. Developing quality applications that met business expectations was both expensive and complex, hindering widespread adoption. Today, the industry is addressing this by creating more accessible development tools and platforms. These simplify the process of developing and deploying XR applications, allowing companies to create customized solutions that meet their specific needs.
Continued technological breakthroughs in XR
In addition to these challenges, companies are investing heavily in research and development to improve wearable XR devices and enhance the user experience. Hardware improvements, including touch screens and camera miniaturization, as well as software improvements in applications and operating systems, have created significant opportunities for portable XR devices to become more mainstream.
AR smart glasses are a device type that has seen many interesting technological innovations in the past year. Snap’s fifth-generation Spectacles, Meta’s next-generation Ray-Ban smart glasses, and Meta’s Orion smart glasses are all examples of how XR wearables are evolving to meet the needs of businesses and consumers, with features such as advanced AR displays and real-time AI video processing. More specifically, Meta’s Orion glasses now offer lightweight, immersive hands-free AR, with future versions expected to add social awareness features.
Broader innovations in lightweight materials and better batteries make portable XR devices easier to use and carry. New smart AR glasses coming to market now use ultra-thin silicon carbide waveguide technologies that not only enable high-definition displays, but also dramatically reduce the thickness and weight of the devices. This marks a major breakthrough in AR technology. AI features also enhance the experience of wearable XR devices, making them more personalized and context-aware.
How AI will transform XR technology
In fact, new compact language models are becoming highly influential on portable XR technologies. Designed to run efficiently on smaller devices, these models enable real-time natural language processing and interaction, allowing users to interact with XR applications using real-time voice commands. In manufacturing, for example, workers can use a voice command to get information about assembly instructions or safety protocols without taking off their XR headsets.
Compact language models are also transforming XR experiences for consumers, enterprises and healthcare, making them more immersive and interactive. For consumers, this allows them to create and consume new types of content through XR wearables. Meanwhile, XR enterprise wearable devices provide employees with highly interactive real-time feedback and guidance during training. This feedback helps improve training results and reduce errors, especially in the manufacturing and medical sectors, leading to higher levels of efficiency and safety. Finally, healthcare practitioners can use XR to complement various treatments during medical procedures, assessments and training, leading to better patient outcomes.
The next wave of digital transformation
Looking ahead, the combination of XR and AI will continue to unlock new possibilities, driving innovation across a variety of industries. With continued improvements in energy efficiency, security and software support, and advancing technological capabilities, portable XR devices are likely to see increased adoption among businesses and consumers. While we have yet to reach the XR tipping point, the journey ahead appears promising as more consumers and businesses embark on the next wave of digital transformation.
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