Virtual reality and augmented reality are here, but the reality is that adoption faces a big obstacle: What VR hardware will set back buyers in bucks, says a new report.

“Looking at the higher end HMDs (head mounted displays), while the cost of a device has dropped incredibly over the last decade or so, down to a level that consumer production is now viable, it still remains above a level acceptable to many consumers,” reports Juniper Research.

“A major advantage that console-based HMDs have over their PC competitors is that the overall running price of the console option is significantly cheaper.”

Juniper estimates that there will already will be 16.8 million VR-read smartphones shipped this year, and the number is expected to soar to nearly 60 million by 2021.

But just because VR is available doesn’t mean consumers will adopt regardless of what devices cost.

“While millions of consumers are already using VR on smartphone-based devices like Google Cardboard and Samsung Gear VR, developers need to go beyond the simple experience-based apps currently available and offer compelling content to keep users engaged,” Juniper says.

VR games could help.

“The Graphics Processing Unit maker NVIDIA estimated that upon the release of the Oculus Rift, only 13 million PCs would be capable of running an optimised VR experience whereas Sony surpassed 40 million units of the PS4 (PlayStation 4) system as of May 2016,” Juniper reports.

“Furthermore, there are the added benefits of having consumers in a closed software ecosystem. While the PC option is generally linked to a certain portfolio of content, a console results in a locked-in system meaning that the vendor can have more reliable software income. As a result, vendors operating via console systems may in the long run have the option of being more flexible in the cost of their hardware when in competition with the PC HMDs, with a greater reliance on hardware sales.”

Read more at:

https://www.juniperresearch.com/press/press-releases/smartphone-vr-to-claim-over-half-of-vr-device-ship?utm_source=juniperpr&utm_campaign=virtual_reality_16_pr2_juniperpr&utm_medium=email