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XR - Are Apple about to change the game

Technology is a forever changing world, with many people worldwide spending billions each year to stay up-to-date with the most current technology trends. Consumers jump from one product to another to better serve their needs, whether it be a slight improvement in camera resolution or battery life. Market research indicates consumer tech spending will top $2 trillion by 2023.

Many of the current and predecessor technologies result from the creative minds at Apple, who continue to "push the envelope" and develop new ideas. As the market and consumer interests adopt these technologies, it is common to see other companies using and building upon Apple's ideas to develop their products and technologies. In the tech community, Apple and its products are very much a "marmite situation", but whether you love them or not, Apple has been arguably the biggest contributor to today's technology, and on the occasion that Apple doesn't win the market, they still define the market time and time again [1].

In 1976, Apple co-founders Steve Wozniak and Steve Jobs sold their first pre-assembled computer, called the Apple-1 [3]. Since then, Apple has grown to be one of the largest tech companies in the world, and whether you're a "techie" or not, you will have heard of Apple. Over the years, Apple has created an "App economy" and has placed itself at the centre, releasing a string of products that have revolutionised computing, upended industries and influenced society. When the iPod was announced in 2001, the reaction was not encouraging with MP3 players already available on the market with greater storage, replaceable batteries and compatibility with multiple OS platforms. However, the iPod would revolutionise Apple's fortunes and change the company at a fundamental level, turning it from a computer manufacturer to a consumer electronics designer. In 2007, Apple Computer became Apple Inc, and the first iPhone was released [3]. The release of the iPhone in 2007 and the App Store in 2008 were huge milestones in the path leading us to today, with iOS and Android App stores containing millions upon millions of apps ranging from valuable tools to mobile games. Mobile devices like the iPhone have become intertwined with our lives, replacing many other devices like the personal communicator, SatNav and MP3 players.

One of the most prominent examples of the iPhones transformational power is the camera, with 109 million pocket cameras sold in 2010 but only 9 million sold in 2018 [4]. The iPhone and its Apple-controlled App Store also became a massive business, giving app developers an easy way to sell to a global audience whilst providing Apple with a significant revenue stream. In 2020, Apple's App Store grossed more than $64 billion [5]. Now, years later, Apple has several products, including iPhones, iPads, Macbook Laptops, Mac Computers, Apple Watches, Apple TV, various accessories and much more. The Apple brand has introduced ground-breaking features that have quickly become industry standard, and they continue to build on new ideas with every product released [1].

Most recently, Apple launched a new line of computers using their M1 chip as part of the move away from Intel to in-house chip design via Apple Silicon. One of Apple Inc's big successes is the development of the "Apple ecosystem", and while Apple certainly isn't the only tech company with an ecosystem, it can be considered the most successful. Apple's ecosystem encompasses every service and device they currently make and even includes many of its devices' features. Whether you have an iPhone, iPad, iMac, MacBook, Apple Watch, pair of AirPods, Apple TV, or HomePod, your Apple devices work with one another. The power of the Apple ecosystem is the refinement of these features and multi-device interactions. In addition, the Apple Ecosystem is user-friendly, so anyone from pre-school children to the elderly can learn to get what they want and enjoy it [6].

The recent news and leaks around the new AR and VR devices that Apple is rumoured to be releasing as early as 2022 for a VR headset [9] could significantly increase consumer adoption of XR technologies. In 2019, 5.7 million VR headset were shipped worldwide, compared to over 1.3 billion smartphones shipped in the same year [7]. In 2021, unit sales of virtual reality (VR) headsets worldwide are forecast to amount to 6.1 million units, bringing the total cumulative installed base to 16.44 million units [8]. The problem is not just that people are not interested in buying headsets, but because AR and VR platforms are still lacking in maturity [7]. The current commercial VR offerings typically require multiple stationary tracking sensors, dedicated floor space, a high-performance computer and a reasonable level of technical skills. The use of mobile VR devices such as the Oculus Quest has helped reduce the complexity and "entry requirements" for consumer VR; however, it still requires significant financial investment and lacks refinement for the average consumer. Apple is thought to be developing multiple products that will offer a combination of AR (augmented reality) and VR (virtual reality). The first such product to launch is expected to be a helmet-style mixedreality headset, which will combine AR and VR features. This headset could launch in 2022, according to a new report from the well-informed analyst Ming-Chi Kuo. Reports suggest that the Apple headset will be powered by a chip based on Apple's M1 chip developed to replace the existing Intel processors used in Apple Computers. To cement the device within the Apple ecosystem and replicate the App Store's successes for iOS, Apple apparently intends to give the headset its version of the App Store, where users would download content. Apple's VR and mixed reality headset is set to prepare developers for Apple Glasses' launch a few years down the line. By launching the headset ahead of Apple Glasses, developers can develop apps ahead of time, ensuring consumers have an abundance of content to enjoy [10]. Apple Glasses is rumoured to be "smart glasses with AR features" set for release in 2025. Reports also indicate Apple has a goal of launching contact lenses that use AR technology sometime in the 2030s [9].

There have been numerous reports from various sources and analysts over recent weeks regarding Apple's developing XR technologies, and only time will tell what Apple has planned. Irrespective of Apple's product intentions, one thing is for sure, from what we have seen from Apple over its history and the impact of its innovation, if Apple is about to enter the XR space, it will be a game-changer.

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Blog by Dr Adam Worrallo. Research Fellow in Immersive Technologies at The University of Wolverhampton.

References:

[1] - https://www.theversed.com/92100/how-apple-has-changed-technology-for-theworld/#.m1uILyfaAx

[2] - https://www.techrepublic.com/article/consumer-tech-spending-to-top-2-trillion-by-2023-thanks-to-smart-home-devices-and-on-demand-services/ 

[3] - https://www.cnbc.com/2020/03/11/photos-fully-functional-apple-1-computer-from-1976-is-up-for-auction.html

[4] - https://www.cnbc.com/2019/12/16/apples-iphone-created-industries-and-changed-the-world-this-decade.html 

[5] - https://www.cnbc.com/2021/01/08/apples-app-store-had-gross-sales-around-64-billion-in-2020.html 

[6] - https://global.ipitaka.com/blogs/news/the-apple-ecosystem-is-terrific-but-it-sucks-sometimes 

[7] - https://www.zdnet.com/article/ar-and-vr-now-have-a-chance-to-show-what-they-can-do-but-they-still-cant-break-through/ 

[8] -https://www.statista.com/statistics/677096/vr-headsets-worldwide/ 

[9] - https://www.macworld.co.uk/news/apple-vr-headset-3661620/

[10] - https://www.tomsguide.com/uk/news/apple-vr-and-mixed-reality-headset-release-date-price-specs-and-leaks