Looking ahead toward the coming decade and the growth of extended reality (XR), new paradigms for user experience, new use cases and new device types will emerge. But first, the industry must move beyond the limits of putting existing 2D experiences into virtual reality (VR) and augmented reality (AR).
As XR becomes more prominent, the industry needs to focus on building XR-native applications, asking whether an application is something that can only be done in XR or can also be done in XR. XR-native applications are more specific and valuable for users.
To thrive, XR technology needs to inhabit an ecosystem of useable and secure devices, high-performance codecs, compelling applications, robust network enhancements and dynamic services.
Beyond this, the user experience must be centered on intuitive and responsive user inputs, contextual awareness and a broader understanding of user state and intent. And new XR ecosystems must monetize, so sustainable businesses can be built around them.
In this paper, we explore the XR market and its potential, provide useful insight into key technology trends that are shaping XR applications and discuss areas for further innovation in the coming years.