Virtual Reality: Understanding VR Technology and Its Impacts

Virtual reality (VR) technology is slowly changing how we live, work, learn, interact, collaborate, and play. You may have come across this concept in a movie or two, but it might have seemed too fantastical to be true. However, VR is very real, and its market size is only growing. So, what exactly is virtual reality, where is it used, and what are its benefits?

Continue reading to learn more.

What is virtual reality?

Virtual reality (VR) is a simulated 3D environment where users can explore and interact with a virtual surrounding in a realistic way. The virtual environment is created using various computer graphics software and users are able to perceive the virtual world with their senses using devices like VR glasses, bodysuits, headsets, etc.

Virtual surroundings become more believable to the user- no matter how fantastical everything is – the more immersive the experience is.

Virtual reality vs augmented reality: The difference

1. Augmented reality (AR) is only partially immersive, whereas virtual reality is entirely a digital experience. In AR, users can interact with the real world and the digital objects at the same time. However, in VR, the real world is blocked out from the user’s senses, so the virtual experience is more believable.
2. AR works by superimposing digital elements over the real world, and you can interact with the digital objects as if they were real. VR, on the other hand, is a completely computer-generated environment in which a user has to get fully immersed.
3. It’s easy to access AR technology as you only need a smartphone, tablet, or any device with a screen, camera, and an internet connection. VR technology is not so easy to access as you need a special headset (like Meta Quest 2 or Oculus Rift), sensors, controllers, software, etc., to explore and interact with the virtual environment and objects.
4. AR users can control their presence in the real world. However, VR users are controlled by the system.
5. AR technology enhances the real world with the help of virtual elements, while VR only enhances the digital environment.

Components of VR

1. Hardware elements:

   

   • A VR headset to present the virtual environment to the user. The head-mounted displays (HMD) work by displaying a different image for each eye to create a 3D effect, giving the user a sense of realism.
   • Input devices like sensors, tracking devices, motion controllers, point input devices, bio-controllers, and voice devices allow the user to interact with the digital environment.
   • Sound systems that will provide directional sounds to enrich the immersive experience.
   • A computer system that will run the software and process the inputs to adjust the VR environment.

2. Software elements

   • 3D modeling, rendering, and animation software to create 3D assets. Some examples of such software are Blender, Maya, Adobe Substance 3D Modeler, Gravity Sketch, Autodesk Revit, and other programs.
   • Game engines like Unreal Engine 5 and Unity that are used to build realistic digital environments.
   • Photo editing software like Adobe Photoshop to create art for the VR world.
   • Digital asset management tools like Helix DAM to manage digital assets like 3D models.
   • Platforms like echo3D that help VR developers and companies build and deploy 3D applications (apps).
   • VR apps like YouTube VR, Google AR & VR, Oculus Rift, etc., that people can use to experience various digital worlds.

3. User interaction

   

   The users are also considered part of the VR experience as the virtual world reacts to their interactions and inputs. Some of the interactions include:

   • Selecting- where the user chooses the digital object or UI element to interact with.
   • Locomotion- where the user moves through the environment
   • Manipulation- where the user manipulates an object’s size, orientation, or location.

Applications of VR Technology

• Gaming and entertainment

  

  VR technology is used to make realistic games in which users can get immersed almost completely. VR games are played using HMDs and controllers. Because VR gaming is so popular, there are not only new VR games being created, but even existing traditional games are being adapted for VR.

  Some examples of popular VR games are Beat Saber, Half-Life: Alyx, Superhot VR, and No Man's Sky VR. Even the famous video game Resident Evil has a VR mode for the seventh installment: Biohazard.

  On the entertainment side of things, VR is very commonly used for creating virtual concerts and events. It can also be used in theme parks for rides or as virtual tours that allow audiences to explore or examine places or objects that they normally can’t access personally.

  

• Education and training

  

  Using VR tech, educational institutions can make the learning experience more engaging. Not only that, students can also get up close and personal with environments and objects with which they would not normally have a chance to interact. For instance, a biology teacher can show students the anatomy of a human or a frog without having to cut open an actual specimen. A history teacher can take students back in time and show them what ancient Greece or England looked like.

  Immersive virtual environments are also good for training people in high-risk, highly specialized jobs like paramedics, firefighters, police officers, soldiers, pilots, drivers, surgeons, etc. The digital environment provides them with a simulated digital environment in which they can go through every possible scenario, but in complete safety. Besides, VR training is more efficient and cheaper than traditional training methods.

• Healthcare and therapy

  

  In the healthcare industry, virtual reality can offer benefits to patients, physicians (practitioners and students), and researchers. Using VR technology, doctors can explain diagnoses or treatment options to patients. It has also shown great promise for the treatment of mental health problems like phobias, anxiety, PTSD (post-traumatic stress disorder), and eating disorders (anorexia, bulimia, binge eating).

  Surprisingly, VR has also shown to be able to help patients with pain management (including for phantom limbs) and rehabilitation.

• Real Estate and architecture

  

  Virtual reality has already become a part of the real estate business. Realtors often use it to give a virtual tour of a property or to convince investors about a construction project. In either case, it’s a great marketing tool. Realtors can create virtual walkthroughs and show prospects detailed 3D floor plans of a property listing. Or architects and interior designers can show clients how their home will look after a remodel.

  It also helps out in communicating plans to contractors and constructions crews as they can take a tour of the various sections. For example, you can give building engineers a tour of the heating, ventilation, and air conditioning systems so they know how to go about their work.

• Shopping and retail

  

  The retail industry has also been making use of VR to enrich the shopping experience. There are many stores that have virtual try-on simulations where a customer can see how certain clothes or cosmetics will look on them without physically trying them on.

  Customers can also try out different hairstyles, spectacles, or accessories and decorate their living spaces virtually at furniture stores so they can make informed decisions while making purchases.

Benefits of using VR technology

• Virtual environments can be created and adjusted to accommodate people with disabilities to increase accessibility in places like museums, aquariums, etc.
• VR can also help improve a person’s cognitive functions like hand-eye coordination, spatial awareness, and problem solving.
• You can create immersive learning experiences for students so they’re engaged in the classroom, gain practical knowledge, and perform better in exams.
• It can create interactive digital environments that will help train doctors, surgeons, firefighters, soldiers, drivers, pilots, etc.
• Virtual reality provides a safe and controlled learning environment for hands-on training without the risk of harm and loss seen in real-world practice scenarios.
• It can create virtual showrooms where customers can virtually experiment with their attire, hairstyle, make-up, etc. Product demos also become easier with VR technology.
• VR can also enrich collaborations and team meetings by incorporating tools like presentations, video calls, etc.
• You can use it to visualize data from different sources to help with analysis, decision-making, and client presentations.
• VR is known to help with pain management, rehabilitation, and mitigation of mental health issues like anxiety, phobias, and eating disorders.
• It can reduce the impact of tourism letting people access global destinations from their homes. Users can get the cultural exposure and education they need about any destination without actually traveling.
• It can enhance gameplay for avid gamers who are always looking for ways to push their gaming experience.
• Virtual reality experiences can help renew interest in theme parks, museums, and other places of entertainment among people.

Limitations of virtual reality

• VR components (headsets and other hardware) are currently very expensive, so not many people can access the experience. However, costs are expected to come down with advancements in VR technology, and more people will have their own personal VR device.
• It can cause discomfort, nausea, and other issues for users with motion sickness, which can ruin the whole immersive experience.
• Lengthy use of VR can lead to health issues like eye strain, psychological effects, and nausea.
• VR can be highly addictive, especially in gaming, leading to social isolation and severely hindering one’s personal and professional life.
• VR devices collect a lot of personal information, which means there is a privacy concern.
• If the real-world surroundings aren’t kept clear of obstacles or if the user is not guided properly, it can lead to physical injuries.
• There is a challenge of creating hyper-realistic haptic feedback with the current technology.
• VR is highly technical, which means that you need the skills of specialists, like 3D artists, UI and UX designers, etc.

What is the future of virtual reality?

According to a recent report by International Market Analysis Research and Consulting, the virtual reality market size reached USD 15.9 billion in 2024. And it is expected to reach USD 89.5 billion by 2033. So, it is clear that VR is only growing bigger and bigger. The main driver behind this growth, it seems, is its adoption in corporate applications like training, simulation, and virtual collaboration.

The emergence of wireless VR headsets and integration with artificial intelligence (AI) and machine learning (ML) is also expected to add to the market’s growth. Even the rise of the metaverse and social and collaborative VR platforms is expanding what VR has to offer.

Sooner or later, the prices of VR equipment will become lower, making them more accessible to the general public. Moreover, Meta lowered the minimum age for Quest accounts in 2023 from 13 to 10 years old, meaning that now children between 10 and 12 years of age can also get a parent-managed account for (age-appropriate) VR experiences. Affordability will definitely open VR technology up to a wider audience, boosting the growth even more. However, we definitely should look at who should be allowed to access it.

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