Alexis Kestler
Augmented reality (AR) and virtual reality (VR) are two emerging technologies poised to transform our relationship with the digital world. Both AR and VR have the potential to revolutionize areas from gaming and entertainment to education, healthcare, design, and manufacturing.
But despite some superficial similarities between augmented and virtual reality in terms of hardware and immersive 3D environments, there are fundamental differences that make each technology distinctly suited to different applications and use cases.
In this comprehensive guide, we’ll unpack everything you need to know about AR vs VR and where these technologies may head in the future. Let’s dive in!
Defining and Differentiating AR vs VR Technology
Augmented and virtual reality provide varying degrees of digitally enhanced or simulated experiences:
-
Augmented reality (AR) overlays and anchors virtual objects and information onto the real-world environment. AR supplements reality rather than replacing it.
-
Virtual reality (VR) completely immerses users in a synthetic, three-dimensional environment detached from the real world. VR isolates users from physical surroundings.
Augmented Reality Technology
Augmented reality integrates virtual graphics and data into your natural field of view. AR applications typically use a camera, sensors and software on a smartphone, tablet or wearable device to capture a user’s real-world environment.
The AR software then layers virtual objects and information on top of this environment in real-time. These enhancements appear anchored to the appropriate real-world locations and contexts. The user views the merged real and virtual environment through the device screen or display.
Augmented reality adds digital elements to real environments. Image credit: Microsoft
For the virtual elements to align properly with the physical world, AR systems must continuously track the user‘s position and field of view through some combination of sensors, cameras, accelerometers and GPS.
Sophisticated AR software platforms like Apple’s ARKit and Google’s ARCore handle these complex rendering and tracking capabilities while also applying realistic lighting, shadows and physics to virtual objects. This creates a highly immersive mixed reality experience.
Virtual Reality Technology
Rather than overlaying virtual enhancements onto the real environment like AR, virtual reality completely immerses users inside a simulated, three-dimensional world. VR isolates users from their physical surroundings.
To enter a virtual environment, users don headsets containing stereoscopic displays and motion sensors that respond to head movements and hand controls. The headset fills the user’s field of view with the virtual world and blocks out all external sights and sounds.
As users explore the simulated environment by moving and looking around, their perspectives continuously adjust based on head and body positions. This creates an experience identical to moving through the real world.
Additionally, spatial audio adjusts sounds to match the user‘s perspective. Haptic technology adds tactile feedback for a fully immersive sensory experience. Handheld motion controllers allow users to mimic natural movements and interactions.
Virtual reality headsets immerse users in digital environments. Image credit: HTC
For a convincing VR illusion, the virtual environment must react instantly to head and body movements. This requires high frame rates and minimal latency between user input and visual reactions. Powerful computer processing generates detailed 3D worlds rendered in real-time.
Comparing the Technologies
While both create immersive digital experiences, some core differences separate augmented and virtual reality:
- Interaction
- AR allows natural interaction with the real world, VR involves predefined virtual interactions
- Immersion
- AR is partially immersive, VR achieves full immersion
- Isolation
- AR users remain connected to the physical world, VR fully isolates users
- Hardware
- AR capable devices are widely accessible, VR requires specialty gear
- Rendering
- AR adds to reality, VR simulates reality
- Platforms
- AR apps run on smartphones and tablets, VR requires powerful PCs and consoles
These distinctions make each technology better suited to particular environments, use cases and applications which we’ll explore next.
Applications and Use Cases for AR vs VR
Due to the different capabilities outlined above, augmented and virtual reality lend themselves to different applications across industries like gaming, live events, retail, education, manufacturing, and healthcare.
Popular Applications for Augmented Reality
Because AR layers virtual enhancements onto the real environment, it’s well-suited to helpful supplementary applications:
-
Retail – AR allows virtual try-ons of clothing and accessories to visualize fit.
-
Navigation – AR layers directions and location information onto real-time views.
-
Marketing – AR enables interactive brand experiences through apps and games.
-
Sports – First down lines and statistical overlays enhance live sporting events.
-
Translation – Apps translate foreign text real-time through a smartphone camera.
-
Measurement – AR apps overlay virtual tape measures, rulers, levels onto objects.
-
Gaming – AR mobile games like Pokémon GO situate gameplay in the real world.
These use cases demonstrate how AR can enhance tasks and experiences rather than replace reality entirely.
Common Applications for Virtual Reality
Since VR constructs self-contained simulated environments detached from the real world, common applications include:
-
Gaming – Immersive VR games place users directly into fantastical worlds.
-
Training – VR simulations safely replicate high-risk environments for practice.
-
Healthcare – VR exposure therapy treats phobias and PTSD.
-
Engineering – VR allows interactive prototyping and testing of designs.
-
Education – VR provides virtual field trips to informative locations.
-
Social – Social VR spaces like Rec Room enable new methods of shared experiences.
-
Relaxation – VR meditation apps provide calming natural scenery.
We see VR applied to recreate scenarios that are dangerous, financially costly, or simply impossible to experience in the physical world.
Market Growth Projections for AR and VR
Both AR and VR markets are experiencing rapid growth as enabling technologies improve and costs decline.
According to market research firm IDC, worldwide AR/VR spending is forecast to accelerate over the next several years:
| Year | Estimated Spending | Annual Growth |
|---|---|---|
| 2020 | $12.2 billion | 78.5% |
| 2021 | $13.7 billion | 12.8% |
| 2022 | $16.8 billion | 22.8% |
| 2023 | $19.5 billion | 16.2% |
IDC predicts the AR market alone could approach $36 billion in consumer spending by 2024.
Meanwhile, MarketsandMarkets values the global VR industry at $21.83 billion in 2025, growing to over $120 billion by 2026 for a five-year compound annual growth rate of 45%.
These bullish forecasts reflect the trajectory of both technologies towards mainstream adoption as supporting hardware, software, and network capabilities improve.
Diving Deeper into AR and VR Technology
To deliver next-level immersive experiences, augmented and virtual reality rely on a mix of technologies working seamlessly together. Let’s look under the hood.
Key AR Technologies and Components
While AR software platforms do the heavy lifting of mixing real and virtual content, they rely on supporting hardware:
- Smartphone cameras and sensors – Track location, motions and environment.
- Inertial measurement unit (IMU) – Combines accelerometer, gyroscope and magnetometer for precise tracking.
- Optical tracking – Uses cameras to spatially map environments in 3D.
- Depth sensing – Sensors like LiDAR measure real-world object depth and position.
- Computer vision – Algorithms enable tracking without markers.
- Projection – Displays like phone screens overlay graphics onto views.
- Head-mounted displays – All-in-one AR visors with transparent lenses.
Together, these components capture environmental data to determine the precise placement of virtual objects anchored to real-world coordinates.
Critical Parts of Virtual Reality Systems
Virtual reality relies on these key hardware elements:
- Stereoscopic head-mounted displays – Provide each eye separate imagery for simulated 3D.
- Positional tracking – Head and body motion sensors track movements to render an accurate perspective in real-time.
- Controllers – Handheld devices allow natural gestures and interactions in the virtual world.
- Graphics processing unit (GPU) – Powerful GPUs render complex VR environments without lag.
- Spatial audio – Recreates sounds from precise locations to match visuals.
- Haptics – Tactile feedback provides physical sensations synchronized with virtual interactions.
This hardware works in unison to create a life-like simulated environment that fully immerses users.
The Future of Augmented and Virtual Reality
While AR and VR technology has progressed rapidly in the past decade along with enabling hardware, sensors and networks, there remains significant room for improvement. Let‘s look at what the future may hold.
The Future of Augmented Reality
Upcoming AR innovations include:
- More seamless blending of real and virtual
- Multisensory experiences engaging senses beyond sight
- Improved object permanence and occlusion
- Photorealistic rendering as graphics improve
- Transition to mobile AR cloud computing
- Reduced hardware size, weight and cost
- Enterprise and workplace applications
- AR replacing mobile/PC displays with wearables
- Expansion beyond headsets into ambient environmental AR
The Future of Virtual Reality
Expected VR advances in the coming years cover:
- Higher resolution displays with expansive fields of view
- Wireless technology reducing reliance on cables
- Powerful mobile processors enabling untethered experiences
- Haptics and motion simulation generating realistic physical sensations
- Wider tracking areas supporting multi-user systems
- AI-powered processing of player movements and reactions
- Cross-platform social VR spaces and avatars
- Visuals approaching photorealism powered by cloud rendering
Both technologies will benefit from the rollout of high-speed 5G connectivity enabling more complex, interactive and social experiences.
And while AR and VR have largely been developing separately up to this point, long-term convergence into mixed reality experiences seems inevitable. Imagine shared virtual spaces overlaying elements onto a real-world foundation. Exciting stuff!
Comparing User Experiences of AR vs VR
A key difference between augmented and virtual reality goes beyond just technical capabilities – it‘s the user experience itself. Let‘s contrast UX principles between AR and VR.
UX Design for Augmented Reality
Effective AR application design must balance virtual enhancements with the real-world experience. UX best practices include:
- Intuitive overlays that don‘t overload the senses
- Relevant info linked to real-world objects and locations
- Natural interactions mimicking real-world physics
- Allowing user control over their physical environment
- Avoiding distractions that could create danger
- Thoughtful use of audio cues aligned with visuals
- Keeping users oriented to their surroundings
By complementing rather than overwhelming reality, AR UX promotes healthy engagement.
UX Design Philosophy for Virtual Reality
To create truly immersive VR experiences, UX designers must:
- Construct believable and responsive worlds
- Provide intuitive ways to move through virtual environments
- Design interactions that build spatial understanding
- Guide users with cues and tutorials early on
- Avoid discomfort from vection illusion of motion
- Minimize simulator sickness from lags or odd movements
- Build in checkpoints and breaks to reorient users
- Layer social elements into solo VR for connection
VR UX requires managing transitions between the real and virtual in a way that doesn‘t cause confusion or negatively impact users once they exit the experience.
Evaluating Risks and Concerns Around Emerging Reality Technologies
While promising, augmented and virtual reality introduce some risks and pitfalls that could stall mainstream adoption.
Potential AR Issues
- Struggle to map environments without adequate spatial data
- Drain on mobile device batteries from constant camera/sensor use
- Privacy concerns around surveillance potential
- Danger fromdistraction and inattention to surroundings
- No standards or consistency across AR experiences
Possible VR Problems
- Isolation from physical contacts and social cues
- Motion sickness, nausea and disorientation
- Eye strain from prolonged stereoscopic viewing
- Hygiene concerns with shared VR headsets
- Lack of AR accessibility for people with disabilities
- Potential behavioral addiction to highly stimulating content
Until standards emerge around these technologies, it will fall on individual companies and developers to implement them responsibly with user health and privacy in mind.
The Takeaway: Comparing the Reality of AR vs VR
While the lines may blur in the future, currently augmented reality and virtual reality present distinct approaches to digitally enhanced experiences:
-
AR overlays limited virtual content onto real environments on accessible devices like phones and tablets. It enhances natural reality.
-
VR utilizes specialized gear like headsets and controllers to deliver fully immersive simulated experiences isolated from the real world.
Both AR and VR stand to transform gaming, live events, remote work, manufacturing, skills training, healthcare, retail, and countless other sectors thanks to interactive 3D capabilities not possible in the physical realm alone.
Yet for now, their differing philosophies mean AR integrates into reality while VR replaces it. This makes them suited to largely distinct use cases based on their technical capabilities and experiential qualities.
As supporting technologies mature, costs come down, and both AR and VR gain mainstream traction, we’ll see these realities intersect in exciting ways. But each will continue offering unique value to consumers, enterprises, and society as a whole. The future looks immensely promising through both augmented and virtual lenses.
