With attention shifting to AI smart glasses, VR faces another reality check

""It's not an overstatement to declare another VR winter," said J.P. Gownder, vice president and principal analyst at Forrester. "I think we might even go as far as to say there's only a handful of successful scenarios where people are using VR." This assessment reflects the industry's struggle to find practical applications beyond niche markets."

"After spending billions of dollars developing AR/VR hardware and software, Meta reportedly cut 10% of its Reality Labs division last month. There are still several thousand Meta employees working on immersive technologies, and the company has hinted it will continue development of its Quest headsets, though with reduced ambitions and more focused entertainment use."

The augmented and virtual reality industry is experiencing another period of diminished enthusiasm after initial pandemic-driven popularity. Following a similar pattern to the 1990s, expectations have again outpaced real-world adoption. Major technology companies, particularly Meta, are reducing investments in immersive technologies. Meta cut 10% of its Reality Labs division and closed multiple game development studios while discontinuing services like Horizon Workrooms. The company is shifting focus toward entertainment applications rather than workplace or social media uses. Industry analysts describe this as another "VR winter," with only limited successful use cases currently existing. Tech vendors are increasingly directing attention toward AI-enabled smart glasses as the next priority.

Read at Computerworld