Tag Archives: Augmented reality

Apple mixed reality headset now expected in spring or later: Kuo

Attendees wait for the start of the Apple World Wide Developers Conference

David Paul Morris | Bloomberg | Getty Images

Apple‘s long-awaited mixed reality headset could be announced in spring at the earliest, top Apple supply chain analyst Ming-Chi Kuo said on Twitter.

Ming-Chi Kuo, an Apple analyst at TF International, had initially predicted in June that Apple would announce a mixed reality headset by the end of January. But on Thursday, the widely respected analyst said he believes Apple will postpone “mass shipment” of any product to the second or third quarter of 2023, citing a combination of mechanical and software issues.

Kuo anticipates an announcement occurring in a “spring media event or WWDC based on current development progress.” WWDC is Apple’s annual developer conference, typically held in June.

Whenever it arrives, the product would create immediate competition for Meta, formerly Facebook, which is focused on building a digital world called the metaverse and sells its own Meta-branded virtual reality headsets.

Apple’s headset is expected to cost between $2,000 and $3,000 and will have more than 10 cameras on the exterior and interior of the device, according to Bloomberg. The mixed reality device will run on an operating system called xrOS, with mixed reality adaptations of Apple’s Messages, FaceTime and Maps apps, according to Bloomberg.

An announcement during WWDC makes sense if the company wants to show off the headset with the latest software tools that developers will use to build apps for it. WWDC is where Apple unveils the annual software updates and some new features for iPhones, iPads, Macs, the Apple Watch and more, and it has breakout sessions where developers can learn about the latest ways to integrate their apps into Apple’s hardware.

Kuo has broken scoops on Apple product releases before, including news on the size and design of the iPhone X in 2016 before the product launched. The Apple analyst also predicted the controversial removal of the headphone jack in the iPhone 7 series.

Apple did not immediately respond to a request for comment.



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HTC Gives First Look At Lightweight Meta Quest Pro Competitor

According to The Verge, which was provided with a render of the new hardware, HTC is planning to reveal yet another consumer-focused virtual reality and augmented reality headset at CES 2023 next month, with features that will potentially rival the recently-announced Meta Quest Pro, including full-color passthrough video.

Although the full announcement and reveal is still a few weeks away, HTC teased some early details about the unannounced hardware to The Verge. Like the Meta Quest Pro and older Quest models, the headset will be a self-contained, all-in-one unit (unlike most of HTC’s other offerings, which requires a permanent connection to a gaming PC) with roughly two hours of battery life and support for controllers with six-degrees of detected motion, plus hand-tracking.

The unnamed headset will also include front-facing and side-facing cameras, allowing the wearer to still see their surroundings in full color, facilitating augmented reality and mixed reality experiences. That was arguably the most compelling reason to splurge on the recently announced, $1,500 Quest Pro, as Meta’s older headsets only provide a grainy, black and white video feed of a user’s surroundings to help ensure they don’t crash into anything (or anyone). However, the new HTC headset will potentially outperform the competition, with HTC promising enough detail to allow users to still read text on computers and smartphones through the passthrough video, while the addition of a depth sensor will also make it much better at accurately mapping a user’s surroundings and inserting virtual content into it.

The render of the new headset doesn’t provide too many additional details, although it doesn’t look substantially different to the recent HTC Vive Flow, which looked like an over-sized pair of safety glasses. That goes with hints HTC posted this October that its next big product will be compact and lightweight.

HTC will also reveal details about the new headset’s pricing at CES, but Shen Ye, the company’s global head of product, told The Verge that it doesn’t plan to subsidize the hardware by collecting and selling users’ data, and as a result the new hardware will probably be considerably more expensive than the $400 Meta Quest 2. That’s good news for those who value their privacy, but it could make the new headset a tough sell for most consumers, who seem happy to trade privacy for heavily discounted hardware.”

Update 12/16/22 at 2:05 PM:

This article originally stated that the Vive Focus 3 required a PC connection, which is not the case. We regret the error.

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Tim Cook gives clearest hint yet that Apple’s building a headset

Apple CEO Tim Cook poses for a portrait next to a line of new MacBook Airs as he enters the Steve Jobs Theater during the Apple Worldwide Developers Conference (WWDC) at the Apple Park campus in Cupertino, California on June 6, 2022 .

Chris Tuite | AFP | Getty Images

Apple CEO Tim Cook recently gave the closest thing to a confirmation that Apple’s building a headset.

Cook was asked in a recent interview with China Daily USA what he thinks the key factors are for augmented reality, or AR, to succeed in the consumer market.

“I am incredibly excited about AR as you might know. And the critical thing to any technology, including AR, is putting humanity at the center of it,” he said, echoing comments he’s made in the past about how important AR is to the company.

He then described Apple’s work in the space so far, which has been focused on AR apps on the iPhone and iPad, before adding, “But I think we’re still in the very early innings of how this technology will evolve. I couldn’t be more excited about the opportunities we’ve seen in this space, and sort of stay tuned and you’ll see what we have to offer.”

AR or “mixed reality” describes technology that superimposes computer-generated images over views of the real world, contrasted with virtual reality, or VR, which completely immerses the viewer in a computer-generated world.

It’s one of the clearest examples yet of Cook acknowledging that Apple has something bigger in the works. While the current apps can be useful for things like mapping a room or seeing if a new piece of furniture might fit, it seems more likely that Apple has been building the library and tools for developers to build apps for something like a headset.

Bloomberg said in May that Apple recently showed its AR/VR headset to the Apple board and that the company plans to announce it as early as the end of this year, although it could slip into next year. The same report said Apple plans to sell the headset in 2023.

Apple would be playing catch-up with a number of other big tech companies, particularly Meta, which changed its name from Facebook last year to signify its revamped focus on immersing users in virtual worlds known as the “metaverse,” and Microsoft, which first introduced its Hololens AR glasses in 2016.



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Meta is opening a store as VR headset sales inch closer to mainstream

Katie Contreras and Chris Nguyen, experience experts, stand at the Customer Onboarding station for the Quest Demo space during a preview of the inaugural physical store of Facebook-owner Meta Platforms Inc in Burlingame, California, May 4, 2022.

Brittany Hosea-Small | Reuters

A good number of teenagers have virtual reality headsets, but have they starting using them in a way similar to smartphones? So far, the answer is no.

One-quarter (26%) of teens say they own a virtual reality headset, a level of VR device ownership that is higher than many expected, but with just 5% of teens saying they use the technology on a regular basis, the level of engagement remains “uncompelling,” according to the recently released Piper Sandler research report, “Taking Stock with Teens: Spring 2022.”

Usage of VR headsets is low due to a number of factors, from costs yet to come down into the range of most consumers, to an insufficient range of applications. But the latter shouldn’t present a problem to the eventual rise of a VR-enabled metaverse, since the metaverse may very well be the solution to that adoption problem. In terms of applications, there really isn’t that much out there yet, certainly nothing that has captured major interest.

Gaming, already at $200 billion in annual revenue with an estimated three billion players globally, is a natural on ramp for Gen Z and subsequent generations who will have exclusively grown up in the digital world. It is a target of Meta’s big tech rival Microsoft, which is spending close to $70 billion to acquire Activision Blizzard. A recent study of Gen Z gamers by Razorfish and Vice Media Group found that 20% of their entertainment/leisure budgets will be earmarked for in-game purchases over the next five years.

But to date, there are only a small number of VR games (just 3% of users on the popular gaming platform Steam have a VR headset).

Concerts and sports also have significant potential, but no real driver yet exists for either of these. Even education, where immersive class “field trips” to anywhere in the world are part of the collective imagining about VR’s benefits, has yet to take off in significant ways.

The metaverse is certainly the biggest application space for VR on the horizon, so perhaps the “Field of Dreams” approach — if you build it, they will come — can work. 

Certainly, Facebook parent Meta Platforms is betting on it as part of efforts to diversity beyond the ad revenue from its Facebook family of apps, including the core app, Instagram and WhatsApp, which accounted for 97.5% of revenue in the most recent quarter, close to $28 billion.

“Everybody’s talking about the metaverse,” Nicola Mendolsohn, Meta’s global business vice president, told CNBC from the sidelines of the Milken Institute Global conference last week.

But the revenue contribution for its Reality Labs division – the part of the company that’s designing products for the metaverse — was $695 million. Reality Labs remains a money sink, if a big bet on the future for the company, posting a loss of $2.96 billion in the first quarter results, compared with a loss of $1.83 billion in the first quarter of 2021. Executives indicated the while expenses will come in a little lighter than previous expectations, this unit will continue to be an area of expense growth. The company has devoted over $10 billion to build the metaverse.

The cycle between investment and “meaningful enough revenue growth” to be profitable is going to be long, according to the company. “I think it’s going to be longer for Reality Labs than for a lot of the traditional software that we’ve built,” Mark Zuckerberg, Meta CEO, said on the recent earnings call.

“We are making large investments to deliver the next platform that I believe will be incredibly important, both for our mission and business comparable and value to the leading mobile platforms today. Now I recognize that it’s expensive to build this. It’s something that’s never been built before.”

Amid the heavy spending, some experts say it’s possible that a major breakthrough occurs soon.

There has been significant innovation in VR already, says Sarah Ostadabbas, assistant professor of electrical & computer engineering at Northeastern University, so much so that she thinks widespread adoption may indeed be “just one or two killer applications away.”

“With high latency and poor headtracking, previous VR was basically useless,” she said, and added that Oculus has “already overcome these biggest limiting factors.” 

On Monday, Meta will open its first physical store and showroom for VR headset technology, where customers will be able to purchase the Quest 2 headset. It is also gearing up for a higher-end headset, currently referred to as Project Cambria and to be released later this year.

A case can be made that, given these tech advancements, the design side is where there is room for growth, a territory usually owned by Apple (long rumored to be developing a headset).

“It’s been rumored for years that Apple will release industry-disrupting AR/VR hardware,” said David Lasala, team lead, interactive development & XR technology at New York University.

But he says among active players right now, the clear front runner is the Meta (formerly Oculus) Quest 2. The second would probably be the Valve Index. Other headsets of note include the Lynx and Pico Neo. Also worth mentioning: Pimax, Varjo, HTC Vive, and there are still some Windows Mixed Reality activities.

But since Meta isn’t primarily a hardware company, there is significant freedom in the niche to let the best VR developments be used.

“I think they want to build the platform (OS),” Ostadabbas said. “Google got scared when Meta and other social networks locked them out, so they jumped on cellphones to avoid being kept out of these major sources of information. Similarly, Meta has found out the hard way what smartphone providers can do to hurt their business model with one policy change.”

Recent privacy restrictions on ad targeting from Apple and Google smartphone operating systems have cost Meta billions in ad revenue. The company’s CFO estimated the Apple changes could cost it $10 billion in revenue this year.

There are cautionary tales about owning the hardware, such as Google Glass, which has found only limited enterprise and industrial applications to date, and 3-D televisions.

Zuckerberg said on the last earnings call that “the best experience will be on virtual and eventually, augmented reality platforms, and especially on our platform like Quest,” but he added that the company plans to make it easy for people to enter the metaverse from more platforms, and “even without needing a headset.”

Whoever wins the hardware battle, if the tech works for consumers, there’s still the question of what people are going to actually be doing in the metaverse, and, really, what’s the point of all of it? Skeptics see hype and rebranding, and not much beyond that. A lot of the hype can be cut through by one word: presence.

“Aside from the immersivity, one of the most interesting differences between the metaverse and the internet is presence — your avatar,” Ostadabbas said.

While sitting in a meeting in the shape of a purple octopus may seem silly (because it is) there is something to be said for the underlying concept. “The internet is a source of information and people explore massive amounts of information without ever leaving a mark. Until you comment, you are invisible. With the metaverse, your avatar means that consumption requires presence, and so even exploration is active and interactive,” she said.

With presence comes Meta’s other promise (pulled along from its Facebook days): community, a word that has seen a lot of its meaning devalued by social media, but there is promise here too within the metaverse in the shape of community without any constraints as to real world geography. Most community building throughout life is tied, for the most part, to a fairly thin range of possibilities (school on one side of thirty, work on the other). “In the best scenario, someone figures out how to recreate this community experience in the metaverse and people’s lives are improved through a greater sense of belonging,” Ostadabbas said.

Chris Nguyen, an experience expert, demonstrates the Quest Experience during a preview of the inaugural physical store of Facebook-owner Meta Platforms Inc in Burlingame, California, May 4, 2022.

Brittany Hosea-Small | Reuters

The centerpiece of Meta’s approach is the social platform called Horizon Worlds, and it has said that after building out “the experience, the next focus will be on growing the community.”

At its best, this will allow people to discover themselves more profoundly than ever before, according to Lasala — grow and heal, make art and learn. Grander claims can be made too, though they remain dubious. “I imagine if half the world’s population was meeting and working in VR versus commuting, it could slow the climate crisis,” he said. “But I have not done a deep dive into the carbon footprint of server farms and silicone productions compared to vehicles, so this might be wishful thinking.”

The worst case is easier to figure. Meta is convinced that the business model of today is the bridge to the business model of tomorrow. “It’s a new paradigm for computing and social connection,” Zuckerberg told Wall Street analysts and investors on the recent earnings call. “So over the next several years, our goal from a financial perspective is to generate sufficient operating income growth from family of apps to fund the growth of investment in Reality Labs, while still growing our overall profitability.”

But the metaverse could all very well be just “a cynical money grab used to monitor people at an even deeper level, with AR headsets allowing construction of deep social graphs and recording of interactions in a way previously not possible,” Ostadabbas said.

The algorithms whirr along, creating increasingly controversial stratification of people to amp up clicks and ad revenue, and if this is a business model that sounds familiar, it should. It’s the internet of Facebook and Alphabet, except this time around you’re a purple octopus in an Oculus. In fact, as Horizon rolls out across all platforms, the business will include some shorter cycles “that might resemble a little bit more what we’re used to with apps,” Zuckerberg told Wall Street analysts.

The company received recent blowback from creators for plans to charge high fees for virtual asset transactions.

Mendelsohn stressed that the company’s history is rooted in successful transitions.

“I’ve been at the company almost nine years. We’ve made some very strong pivots before,” she said, alluding to the shift from PCs to mobile, and the shift to Instagram Stories.

The fully realized version of the metaverse is, she said, “some years off,” but she added that it’s a continuum of where the company is today, and clients like Wendy’s that are already using video and ad products, and launched a world in Horizon Worlds with virtual restaurants last month.

“This is laying the groundwork for what I expect to be a very exciting 2030s,” Zuckerberg said.

By Trevor Laurence Jockims, special to CNBC.com

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Best Buy could cash in from rise of the metaverse, analyst says

A near empty parking lot in front of a Best Buy store in Montebello, California on April 15, 2020 as the electronics nationwide chain store remains closed to customers but open for pickups.

Frederic J. Brown | AFP | Getty Images

As companies and consumers grow more interested in the metaverse, Best Buy could cash in by selling more virtual reality headsets and pricier computers, an analyst says.

A research note published Monday by Loop Capital Markets said the consumer electronics retailer is well-positioned to tap into enthusiasm for nonfungible tokens, gaming and socializing in a virtual world. Best Buy is the largest PC retailer in the country, has big-box stores where shoppers can try on different headsets and has a team of tech experts who charge for helping consumers with setup, said Anthony Chukumba, the equity research firm’s managing director.

He reiterated Loop’s buy rating and price target of $150, about 52% higher than where Best Buy is currently trading. Best Buy’s shares are up about 1% as of midday Monday. They have fallen about 9% over the past 12 months.

A growing list of retailers from Nike to Ralph Lauren have dipped their toes into the metaverse. Nike bought virtual sneaker company RTFKT for an undisclosed sum in December. Ralph Lauren has experimented with ways that people can visit or shop at virtual stores on gaming platforms like Roblox and Zepeto.

For Best Buy, the financial opportunity is even simpler, Chukumba said: Consumers may need to upgrade computers to higher-resolution displays and buy extra equipment from monitors to microphones. That could drive a “massive PC upgrade cycle” and one for smartphones, too, he said.

Loop based its views on a conversation with an unnamed CEO and venture capitalist who specializes in NFTs, blockchain, decentralized finance, gaming and the metaverse, Chukumba said. He added, the person has worked in the tech industry since the late 1990s.

With the metaverse, two other merchandise categories — virtual reality and artificial reality devices and videogame consoles— may also gain steam, Chukumba said. Best Buy already has relationships with the major manufacturers that sell those devices, including Meta (formerly known as Facebook and the owner of Oculus), Sony and Apple. Apple is expected to have a VR/AR product coming soon.

Best Buy also has stores where consumers can try on and compare different headsets in person.

Another aspect of the metaverse could help Best Buy, too, Chukumba said. The technology could make it quicker and cheaper to run warehouse simulations that inspire more efficient ways to operate.

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Meta, Apple, Google, Microsoft gear up for big augmented reality year

2022 is poised to be the biggest year yet for “the metaverse,” as Facebook parent Meta, Apple, Microsoft and Google gear up to release new hardware products and software services in what so far has been a niche market for early adopters.

The “metaverse” describes software and hardware that allow users to play or work in virtual 3-D spaces, or pull in information from the internet and integrate it with the real world in real time. For now, the metaverse might be accessed through a smartphone, but eventually, it will be experienced through advanced virtual reality or augmented reality headsets, backers say.

Big Tech companies are betting that gadgets that transport their users into enhanced or imaginary worlds will open up the biggest new market in software since Apple introduced the touchscreen smartphone in 2007. If the metaverse takes off, then perhaps everyone who has a smartphone today will also have a pair of computer glasses or a VR headset in a few years.

“Large tech platforms (which benefited from the rise of mobile computing apps) now look toward augmented reality as the next computing platform shift,” Goldman Sachs analyst Eric Sheridan wrote in a December note. He said it appears to be the “next logical shift in consumption patterns” and will create new industry leaders.

Companies are pouring research and development dollars into prototypes and foundational technologies and gearing up for a virtual battle when their products hit the market.

Venture capitalists invested $10 billion in virtual world start-ups in 2021, according to Crunchbase, and that doesn’t count the budgets from Big Tech players. For example, Meta CEO Mark Zuckerberg said the company spent so much money on VR and AR in 2021 that it cut the company’s profit by $10 billion.

Goldman Sachs analysts estimate that as much as $1.35 trillion will be invested in developing these technologies in the coming years.

Here’s where the big names in technology stand and what they’re expected to release next year:

Meta

Facebook’s test of its new Horizon Workrooms remote-working app for its virtual reality Oculus Quest 2 headsets is shown in this handout image obtained by Reuters on August 18, 2021.

Facebook | Reuters

Facebook is all in on metaverse technologies. In fact, in 2021, it changed its name to Meta Platforms to reflect the company’s new focus.

Meta has a lead over its Big Tech rivals: It’s currently manufacturing and selling VR hardware, and accounted for 75% of the market in 2021, according to IDC.

On Christmas, the most popular app in Apple’s U.S. App Store was the Oculus virtual reality app needed to use a Quest 2 headset, an imperfect but meaningful sign that a lot of people found virtual reality gear under the tree.

Meta hasn’t released sales numbers for its Quest. But Qualcomm, which makes the chip at the heart of the Quest, estimated that the company had shipped 10 million units by November. Those aren’t smartphone numbers, but they are significant — and boosted by major TV ad campaigns flogging the hardware.

Meta is planning to release another virtual reality headset this year that it’s been calling Project Cambria. The device, according to Facebook, will have hardware that makes it better for “mixed reality,” or using cameras on the outside of a VR headset to pipe the real world in to the viewer. Meta says it will also include face and eye tracking, which will make the device more responsive to the user’s commands.

Meta’s early foray into the market has given the company an early look at what software users want to boot up on their headsets. This month, it launched a social platform called Horizon Worlds, where people can attend comedy shows and movie nights inside Facebook’s virtual world.

Meta has acquired several companies that make popular apps for Oculus headsets, most notably Supernatural, a workout game in which users hit floating blocks in time with a beat.

This strategy may come under antitrust scrutiny. The Federal Trade Commission has opened an in-depth probe over the $400 million acquisition, The Information reported.

Apple

Augmented Reality

Source: Apple

Apple has never confirmed it is working on a headset, but it has been prototyping approaches inside its Technology Development Group for years.

Apple has been laying the groundwork for a major new product category. Its newer iPhones come equipped with Lidar sensors, which can measure how far away an object is — critical for location-based applications. Recent iPhones and iPads have software installed called ARkit, which allows developers to create apps that use the iPhone’s sensors for precise room mapping and localization.

These technological building blocks are creating the foundation for an entirely new product, expected to be an Apple-made high-end headset that mixes virtual reality and augmented reality, which reportedly could be launched in 2022.

Unlike Meta, Apple doesn’t discuss new hardware products until they are ready to be revealed. When Apple does release a headset, it is likely to shake up the entire market and provide a new approach for many challengers, like the iPhone did for smartphones and the Apple Watch did for smartwatches.

Apple’s competitors will watch closely to see what Apple CEO Tim Cook touts as the biggest advantages and selling points for its headset.

Content and how Apple integrates its services will be crucial to the device’s appeal. Will Apple introduce a new app store for virtual reality apps? Will the Apple headset have exclusive content or VR-based sports or music stemming from its purchase of NextVR?

Investors and market analysts are starting to wonder if future sales from headsets or other reality-based gadgets should push Apple’s stock even higher if it does release its first major new product category in seven years.

“Apple’s current market value does not reflect new product category launches,” Citi analysts wrote in December. “This will change with the launch of the new AR/VR headset in 2022.”

Apple won’t call it “metaverse,” though. “I’ll stay away from the buzzwords. We just call it augmented reality,” Cook said in September.

Google

Alphabet’s Glass being used in manufacturing

Alphabet

Google kicked off the headset craze in Silicon Valley when it introduced Google Glass in 2013. The experiment wasn’t well received, but Google didn’t give up. To this day, Google sells Glass headsets to businesses, but they aren’t generally available to consumers.

Now there are signs that Google is getting serious about augmented reality again, although it doesn’t have as many products or publicly announced technologies as its rivals. Since Glass first came out, newer AR headsets have been introduced with more sophisticated displays, better sensors and more powerful processors.

Google, whose Android operating system is the most popular smartphone software in the world, has among the most to lose if headsets and metaverse devices supplant the smartphone with a new operating system.

In 2020, Google bought North, a well-capitalized start-up working on lightweight AR glasses that were a spiritual successor in terms of functionality to Google Glass.

Google now has a new team focusing on operating systems for augmented reality, according to a post shared by senior director Mark Lucovsky in December. Before joining Google, Lucovsky worked at Meta’s Oculus.

According to job listings, Google is hiring heavily for this team, which is working on an “innovative AR device” and is adding products “to the AR portfolio.”

Microsoft

Soldiers wearing the IVAS system, a modified version of the HoloLens 2.

US Army

Microsoft was the first Big Tech company to introduce a fully featured AR headset, HoloLens, in 2016. But its current product is still a long way from a device that consumers will wear on a regular basis.

Instead, Microsoft has focused on “enterprise,” or selling headsets to businesses that can stomach the $3,500 list price and want to see if the technology makes its workers more productive.

The highest-profile client for HoloLens is the U.S. military. Microsoft won a $22 billion deal earlier this year to sell 120,000 custom HoloLenses to the government so soldiers can use them to “increase lethality.” However, earlier this year, the Army said it would delay the start of a HoloLens field test to 2022.

Whether the deal continues to get delayed or whether it turns out to be a winner for both sides will be an important signal for the ultimate health of the augmented reality market.

HoloLens has also piqued the interest of medical companies, who want to see if augmented reality can help improve operating rooms or even help do surgery remotely.

Microsoft is heavily investing in cloud services to be the glue for virtual worlds expected to be released to the public in 2022.

In March, the company announced Mesh, which allows software makers to create apps that allow different devices to share the same digital reality. Mesh works a little like a video call, only with three-dimensional holograms. Microsoft laid the groundwork for this push in 2017 when it acquired AltspaceVR.

These metaverse software features will be launched in 2022. Microsoft is integrating Mesh into its videoconferencing app, Teams, later this year. Features for Xbox games, another natural fit, are also in the works, with no release date yet. But it remains to be seen if AR headsets improve the kind of productivity applications that Microsoft is best known for.

Still, CEO Satya Nadella is enthusiastic.

“I can’t overstate how much of a breakthrough this is,” Nadella said in November.



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Neal Stephenson on ‘Termination Shock,’ geoengineering, metaverse

Neal Stephenson

Source: Mercatus Center at George Mason University

Author Neal Stephenson shot to fame almost 30 years ago with the science-fiction novel “Snow Crash,” which envisioned a future dominated by mega-corporations and organized crime, competing for dominance in both the real world and the “metaverse,” a computer-generated world accessible through virtual reality headsets.

Since then, he’s written several more novels encompassing technology and history, including a trilogy set at the dawn of the scientific revolution, and has done work for various technology companies including Jeff Bezos’ space travel company, Blue Origin, and augmented reality company Magic Leap.

His new novel, “Termination Shock,” out Nov. 16, focuses on the looming issue of our age — human-generated climate change, projecting a near future of extreme weather and social chaos. Against this setting, a maverick oilman decides to take matters into his own hands and builds the world’s biggest gun to shoot canisters of sulfur dioxide into the air, echoing the effects of a volcanic eruption and temporarily cooling parts of the globe. Geopolitics, social media and Dutch royalty all play a part.

Stephenson acknowledges that geoengineering is a radical step, but suggests as the effects of climate change grow more destructive, the demand for radical solutions will grow.

But if geoengineering does happen, it probably won’t be because a billionaire took matters into their own hands.

“In real life, somebody like that would probably get shut down,” he told CNBC in an interview.

“By far, the more plausible scenario is that some government somewhere just makes the calculation at some point that doing this would be fairly cheap and easy. And better than not doing it, as far as [their] selfish purposes are concerned.”

Personally, he favors an all-of-the-above set of solutions to climate change, including more clean energy sources, decarbonizing the economy and carbon capture to take some of the CO2 we’ve emitted over the last 150 years out of the atmosphere. The trouble is convincing large numbers of people that this kind of action is necessary.

He points to two factors that he expects will convince more people that climate change can no longer be ignored. One is rising sea levels.

“You can be as ideological as you want. But you can’t argue with the fact that your house is full of water,” he says.

“And the other one is these possible so-called wet-bulb events, where some areas become so hot and humid that everyone who’s outdoors will just die.” Stephenson points to the “heat dome” that descended over the Pacific Northwest last summer, causing temperatures to skyrocket for a few days and killing hundreds of people.

He does not necessarily believe governments will come together and agree on solutions, although he says the recent 2021 United Nations Climate Change Conference, or COP 26, was a necessary and useful event. “We have to have those conferences. And we have to hope and pray that their strongest and most optimistic recommendations are put into effect.”

But even if they can’t agree, governments will be forced to respond.

“I think we’ll see the big governments, the Indias and Chinas of the world, charting their own path,” he says. “At the end of the day, most politicians want to retain their power. And they’re going to do what it takes to keep getting votes or to maintain their grip on on the political system. And if they’re seen as having presided over huge apocalyptic disasters and not taking effective action, then they’re in trouble.”

Although he was one of the first writers to popularize the idea of virtual reality, he does not necessarily believe that people will retreat into artificial worlds as the real world becomes harder to live in.

“I don’t hate VR,” he says. “But the reality has been so far that most people don’t like to hang out there for more than a short period of time. That may change as the technology gets better, but there’s just inherent limitations on things like the problem of getting motion sickness, the problem of how do you move around?”

He’s more bullish on augmented reality — the idea pioneered by Magic Leap and currently being developed by Microsoft, Apple, and others, where computer-generated images are blended with the real world. But he agrees it won’t take off until there’s a good reason for people to wear headsets or glasses for long periods of time. “It’ll probably have something to do with making it even smaller, more compact, and less of an intrusive experience to wear around.”

As far as the metaverse goes, Stephenson has stood back and watched as the tech and business worlds have claimed the term for themselves, most notably the company formerly known as Facebook, which renamed itself Meta to emphasize its interest in building a computer-generated universe.

“All I can do is kind of sit back and watch it in amazement,” he said. But, as many have noticed, “There’s a pretty big gap between what Facebook is actually doing, like running Facebook and WhatsApp and Instagram, and the visions that they’re talking about for the metaverse.”

Here’s a transcript of the complete interview, lightly edited for clarity and length.

Matt Rosoff, CNBC: The plot of your new novel “Termination Shock” is essentially about a maverick businessperson using geoengineering to reverse climate change. For CNBC readers who may not be familiar with the concept of geoengineering, can you tell us a little bit about it?

Neal Stephenson, author: The first point to emphasize is that it doesn’t fix the actual problem, which is too much carbon dioxide in the atmosphere. But it’s thought that it could be a stopgap way to slow down the rate at which the climate gets hotter.

And it’s basically imitating the effects of large volcanic eruptions by putting sulfur dioxide or something else into the atmosphere, right?

Exactly. There have been many cases throughout history where a big volcano — most recently, Pinatubo in the Philippines — does exactly this. And it puts particles or droplets of sulfates into the stratosphere, and those sort of act as a veil that bounces back a little bit of the sun’s radiation back into space so that it never reaches our planet and doesn’t warm us up. So we know that this cools the planet down because it’s happened a bunch of times throughout history. And we also know that the sulfates will kind of naturally wash out of the atmosphere in a couple of years. And you go back to where you were before.

The eruption of Mt. Pinatubo in the Philippines, 1991.

Thomson Reuters

So you almost need a constant infusion of them. While you decarbonize.

Exactly. The only sane way to use this, if it’s done at all, is as a way to buy time for decarbonization, which is what we really need to do.

How did you get interested in this subject and become fascinated with it enough to base a novel on it?

I’ve been hearing about the idea for a number of years. I’m interested in history. I’m interested in science and the physics of the planet. And so, the idea that a volcano could erupt somewhere and affect temperatures all over the planet is a natural, fascinating topic for me. Over the last decade or two, it’s become increasingly clear that the CO2 content in the atmosphere is a huge problem, and that it’s getting worse fast, and we’re not really being very effective. Despite efforts by a number of people to draw attention to the problem and and push for emissions reductions, that number is still climbing rather rapidly and probably will keep climbing for a while. So rolling that together in the brain of the science fiction novelist, that looks like the basis for a story that that’s got that technical angle to it, but that’s also got a strong geopolitical and personal storytelling basis.

Do you think it’s a realistic likelihood that this could happen in 10 to 15 years? Maybe a maverick individual, but more likely a government that doesn’t particularly care much about world opinion will take it into their own hands?

I agree. In this book, it’s the maverick billionaire because it makes for a good story. But I have to do a lot of explaining as to how he’s able to get away with it, because in real life, somebody like that would probably get shut down. By far, the more plausible scenario is that some government somewhere just makes the calculation at some point that doing this would be fairly cheap and easy. And better than not doing it as far as [their] selfish purposes are concerned.

It’s considered a pretty radical out-there idea. If you look at the overall landscape and what you’ve been seeing over the last few years, what do you think the likelihood of countries in industry and individuals voluntarily taking steps to reduce emissions enough to keep global warming to a minimum? Or how do you think it’s likely to play out over the next 10 to 15 years?

The number that matters is the CO2 in the atmosphere, which is above 400 parts per million and climbing, That’s higher than it’s been in millions of years. So when we talk about emissions reductions, all we’re saying is that the rate at which that number grows, will slow down. But it’s still growing, the numbers still get higher every year. It’s just not climbing as fast because we reduced our emissions. If we could get to zero emissions, which might happen in a few decades — like China’s saying maybe by 2060, it might get to zero emissions. That just means that that number stays wherever it is, for about a million years, which is how long it takes natural processes to remove it. So emissions reductions are great and zero emissions would be better than than not doing that, but still leaves us stuck with the number at a dangerously high level until we take active measures to remove that carbon dioxide from the atmosphere.

What do you think of carbon capture as a technology? Have you followed it at all?

I know an increasing number of people who are techies who are altering their careers to think about this and work on this. There’s a bunch of ways that it could be done. We have to do it. It will be the biggest engineering project by far in human history. We have to do it. We have to succeed. And it’ll take many decades.

Did you follow the COP26 conference at all? What did you think of it?

I followed it. Not super closely. But all of that stuff is great. We have to have those conferences. And we have to hope and pray that their strongest and most optimistic recommendations are put into effect. For sure. It’s just while we’re doing that, we can’t lose sight of what I said before, which is that reducing emissions or taking emissions to zero still doesn’t begin to solve the problem. It just means that we’re not making the problem worse.

What about other forms of energy? Nuclear energy in particular is one that draws a lot of interest from from readers. It’s zero carbon, but there’s fear about it, and some of that fear is grounded. What about that and other energy forms?

Nuclear, I think during the Cold War it kind of got rushed into service, too soon. And before the whole picture was was fully understood. So it’s not where where the engineering resources have been going in the last few decades. And with more resources, more engineers, more money, maybe we can find ways to do it that are that are safer. There are still intractable problems around what to do with nuclear waste, and and so on that need attention. But we’re entering into this phase in our history where we have to start thinking in terms of relative risks. If you’re talking about a particular new technology, they have to compare its risk to the risk of not using it.

There’s a lot going on that’s promising. Beyond just nuclear, there’s geothermal and the usual suspects, wind, solar, etc. And we need it all.

A lot of these discussions get bogged down by ideological purity tests. So one one side you’ve got activists who say if you even talk about adaptation, that’s wrong. Because you’re giving up on reduction. And if you even talk about carbon capture, you’re just giving the current economy and the current fossil fuel industry more more leeway to keep burning. Then you’ve got other people, the Bjorn Lomborgs of the world, who say, “Oh, we’re focusing way too much on the risks and not talking about the costs enough, and growth is the only way out.” How do you think about this? How do you parse this when you’re looking at all of these different, really strong ideological beliefs?

Yeah, a whole separate dimension to the problem that we’re facing is weird, weird polarization of everything. It’s incredibly obstructive. There was just an article in The New York Times about Republicans who are furious at other Republicans who voted for the infrastructure bill. Like, how dare you vote for bridges?

It’s really disheartening and seems like it’s definitely this partisan shift by bad actors who think they’re gaining something from it.

I personally can look at something like carbon capture, and I can make an argument that convinces me that we should be doing it, so it’s not hard for me to formulate my own opinion on that. Much harder is getting millions and millions of other people to agree.

What do you think will be the tipping point? I’ve noticed a lot more people coming around to the idea that we need a multifaceted, throw-everything-at-it solution. And I think some of that comes as the effects become harder and harder to ignore, so it’s harder to presume that this is just happening somewhere else. Do you imagine some kind of event, or series of events, that can break this logjam?

So here’s an example. We had this heat dome event in Seattle over the summer, where out of nowhere, from a normal summer’s day, just suddenly, it was 115 degrees. Much hotter than it has ever been in Seattle.

I grew up there, and lived there for 10 years as an adult as well. So yeah, that was staggering.

So that happened overnight, and after three days of that, overnight, the temperature dropped by 50 degrees. A bunch of people died. So I think an event like that might convince a bunch of people who live in Seattle.

But I think one is going to be rising sea levels, which is something you can’t argue with. You can be as ideological as you want. But you can’t argue with the fact that your house is full of water.

And the other one is these possible so-called wet-bulb events, where some areas become so hot and humid that everyone who’s outdoors will just die.

How can people come together to ensure that solutions help the broadest number of people, rather than pulling up the drawbridges — let’s just escape into space or our compound in New Zealand or something like that? Or do you think it’s inevitable that the people with the means are going to run?

Of course, some people are going to do that. And other parts of the world are going to be depopulated one way or the other. But I think we’ll see the big governments, the Indias and Chinas of the world, charting their own path, going their own way, doing what they think they need to do, in order to basically prevent their their governments from falling. At the end of the day, most politicians want to retain their power. And they’re going to do what it takes to keep getting votes or to maintain their grip on on the political system. And if they’re seen as having presided over huge apocalyptic disasters and not taking effective action, then they’re in trouble.

I have to ask about the metaverse, a term that you coined in the book “Snow Crash” in 1992. Now it’s everywhere in tech. It was on Disney‘s earnings call! Everybody in the tech world is suddenly using the term, probably not the way you intended it or originally envisioned it. What are your thoughts on that?

I have to assume that some of this is pre-emptive. Making sure that one company — that Facebook — doesn’t establish a trademarkable position. If they begin to throw the term around, and nobody else does, then they might be able to later prevent other people from from using the term. So that might be part of why they’re doing this.

I don’t know. All I can do is kind of sit back and watch it in amazement.

There’s a pretty big gap between what Facebook is actually doing, like running Facebook and WhatsApp and Instagram, and the visions that they’re talking about for the metaverse. They’re two very different things. That’s important to keep in mind.

I had a conversation with a VC maybe six or seven years ago, and he was sort of a pessimist in general about the course of humanity and where things are going. He said, “Hey, you know, if you’re a pessimist, VR seems like a great bet. Because everybody’s going to want to escape from their real world conditions.” Do you see things that way at all?

I’m personally more interested in AR than in VR. I mean, I don’t hate VR. But the reality has been so far that most people don’t like to hang out there for more than a short period of time. That may change as the technology gets better, but there’s just inherent limitations on things like the problem of getting motion sickness, the problem of how do you move around? I mean, while I’m talking to you, I’m just kind of wandering around my house. And that’s a normal human thing to do, to want to get up and move around. That’s a difficult thing to do in a VR environment because you’ll step on your cat.

I know you were involved with Magic Leap, and that seems to have gone in a different direction with Peggy Johnson in charge, focusing on enterprise a lot, like Microsoft has, but what’s it going to take for for AR to really take off? What are the technological barriers? I look at how mobile was with Windows Mobile and Palm and some of those things, and then all of a sudden, the iPhone had enough new things in it, the capacitive touch screen and the idea of apps, that it was 18 months ahead of everybody else. And that was enough for it to take off. Is there something like that, that would have to happen for AR to take off?

I think that’s a good analogy. Somewhere out there is that tipping point. And nobody knows where it is until they’ve found it. And so timing is tricky. I think what Magic Leap accomplished in the way of hardware is impressive. I mean, they’re shipping a headset with a 6D controller and a whole system that tracks the room around you. And it makes it possible for applications to interact with things that it sees in your environment. And there’s a lot of engineering that has to happen to make those things all work together in a package that doesn’t immediately catch on fire or run out of batteries.

I actually saw [former Oculus CTO John] Carmack tweeted, not about Magic Leap, but he was saying maybe what VR headsets need is a big heat exchanger that would sit on top of your head.

So engineering-wise, I think it’s been going pretty well. The question is what will prompt people to want to wear something like this all day long and make it just a routine thing to carry around. And it’ll probably have something to do with making it even smaller, more compact, and less of an intrusive experience to wear around.

You’ve been writing about technology for about three decades now. When you look back at when you started this, when the internet was young, what has surprised you and what do you think you’ve been right about? What did you anticipate, and what did you not anticipate?

The popularity early on of relatively simple forms of the internet, just simple web browsers with words and pictures, and how catchy that was, how rapidly people adopted it. That was a surprise to me because as a techie, I wanted to have more splashy kinds of technologies like full 3D immersive experiences. Who knew that reading a few words on a webpage and maybe seeing a grainy JPEG would be so transformative?

On the not-so-happy side, the speed with which and the completeness with which it was taken over by bad actors. I remember when Obama was elected. People were saying, ‘Well, you know, Obama’s team, they understood the internet, they understood how to use the internet. And Republicans, they’re old. And they don’t get it. So they’ve been left in the dust.’ And then eight years later, not only did they get it, but they got way in a way deeper, and much more kind of cynical way than the Democrats had.

I know that there’s an HBO adaptation of “Snow Crash” in the works, maybe coming out this year. I haven’t heard much about it recently, can you talk about that?

The reason you haven’t heard about it is because they passed on it in June. So it’s no longer an HBO Max project. It’s reverted to Paramount. And Kennedy/Marshall.

Are we going to see it soon?

All I can say is stay tuned. A lot of people want it to happen.



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Augmented reality firm Nreal targets IPO within 5 years, CEO says

SHANGHAI — Nreal, a Chinese company making glasses for so-called augmented reality experiences, is looking to go public within five years, its CEO told CNBC.

“We’re thinking this is really a major tech market and really looking forward to what’s going to happen in the next 10 to 15 years. Very exciting – I think its more like ’06, ’07 of the smartphone business,” Chi Xu, CEO of Nreal said.

“We see a lot of good opportunities and, definitely, we’re thinking the market size is going to be massive. And we have this opportunity and we want to take this to the final end.”

He said an initial public offering could come in “less than 5 years.”

The company’s flagship product is a pair of lightweight glasses called Nreal Light, which has been released in a handful of markets including South Korea and Japan. Nreal says its glasses allow users to experience “mixed reality” where digital images are superimposed over the real world.

The Nreal Light connects to a smartphone. One of the immediate uses frees people from being tied to their small smartphone screens.

“Whatever you’re displaying in the cellphone screen in front of you, you put that in front of your face, into a massive screen, and that can be 3D, that can be ultra-high definition,” Xu said.

An attendee tries a pair of Nreal mixed-reality glasses at the MWC Shanghai exhibition in Shanghai, China, on Tuesday, Feb. 23, 2021.

Qilai Shen | Bloomberg | Getty Images

Nreal’s ambitions pit it against technology giants that see a bright future in augmented reality. Apple CEO Tim Cook has called AR the “next big thing” and the iPhone giant is reportedly working on a headset. Facebook, Microsoft, Google and other technology companies are all investing in AR.

But current headsets on the market are expensive and often bulky. Nreal is hoping its portable nature will appeal to consumers. The price varies by market depending on how it is distributed. For example, in Japan the headset costs around $700. But in South Korea, the device can be purchased through a telecom operator’s plan which subsidizes the headset to around $300.

Business model

Nreal has a platform for developers to create apps for the headset’s operating system called Nebula.

“It’s very similar to what Apple has been doing for smartphone,” Xu said. “We offer a platform where people use that for different kinds of experiences and developers — they can deploy, they can develop different content onto the field.”

Apple not only makes money from sales of its iPhones and other hardware but it also gets revenue from commissions off its App Store.

Nreal has some notable backers. Kuaishou, the short-video platform in China and iQiyi, a video streaming service, are among the company’s investors. Xu said Nreal would be working with both Kuaishou and iQiyi.

“As we mentioned, not only are we going to provide the hardware. We want to bundle different services with the glasses. So take video for example, whether it’s a long video or short video. We’re thinking glasses are a much better terminal to experience the video in,” the CEO said.

“So that’s why we’ll be working with those giants, really working on the new interface.”

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Facebook shows off mind-reading technology

Facebook has unveiled its mind-reading wrist device and an augmented reality keyboard that would allow users to replace the mouse and keyboard in future hardware products.

The company’s Facebook Reality Labs division showed off the prototype technologies on a virtual call with members of the media this week. Executives from the division talked about the technologies while videos of the projects were played for the audience.

The wrist device is capable of reading neurological signals sent from a users’ brain down to their hands. It could theoretically read these signals to get a sense of what a user wants to do and replicate the action in a virtual or augmented reality environment.

“You actually have more of your brain dedicated to controlling your wrist than any other part of your body, probably twice as many neurons controlling your wrist and the movement of your hands than is actually dedicated to your mouth for feeding and for speech,” said TR Reardon, director of research science at Facebook Reality Labs.

The Facebook researchers demonstrated “force” actions where a user could pinch with their fingers in real life to hold and control virtual, far-away objects in augmented reality. The name of the action is a reference to the Star Wars franchise where certain characters can use the Force to control and move people or objects that are far away from them.

Additionally, the company demonstrated electromyography wristbands that users could wear to type on any surface as though they were typing on a physical keyboard. Though there’s no keyboard, the EMG wristbands would register the intentions of a user’s finger strokes and jot down the letters and words.

Facebook’s development of these technologies comes as the company prepares to release its first smart-glasses later this year. That device will be Ray-Ban glasses and will be released in partnership with Luxottica.

Unlike smartphones, which rely on touchscreens, or Oculus virtual reality headsets, which rely on handheld controllers, there’s no current obvious input mechanism for smart glasses. That is why Facebook is working on these projects.

Asked how soon these technologies may make their way to the public, Facebook CTO Mike Schroepfer said they are in the early stages of development.

“It’s hard to predict their timeline,” Schroepfer. “How these things sequence out in the market, when they show up — are things I don’t have crisp answers to. What we’re focused on is hardening these technologies.”

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Apple to Launch MR Headset in 2022, AR Glasses by 2025

Apple’s tinkering with AR, VR and MR.
Photo: Mladen Antonov / AFP (Getty Images)

While the rumblings over Apple’s planned venture into augmented reality, virtual reality and mixed reality have been getting louder recently, we now have a series of dates for these devices by prognosticator Ming Chi-Kuo, a good source with a reliable track record on all things Apple.

In a research note with TF International Securities obtained by MacRumors, Kuo stated that Apple will release an MR helmet type product by 2022, an AR glasses type product by 2025 and an AR contact lens type product by 2030-2040. The Apple prognosticator didn’t have a lot to say about the Apple contact lenses, stating that the lenses will bring electronics from the era of “visible computing” to “invisible computing.” He added that there is “no visibility” for the product as of now.

“We predict that Apple’s MR/AR product roadmap includes three phases: helmet type by 2022, glasses type by 2025, and contact lens type by 2030–2040,” Kuo wrote, per MacRumors. “We foresee that the helmet product will provide AR and VR experiences, while glasses and contact lens types of products are more likely to focus on AR applications.”

When it comes to Apple’s MR headset, though, Kuo had a lot more to say. In terms of size, the analyst stated that several prototypes of Apple’s mixed reality headset weighed between 0.4-0.6 pounds (200 to 300 grams). However, Apple’s apparent goal is to reduce the weight to between 0.2-0.4 pounds (100-200 grams), which would make the company’s headset a lot lighter than many existing devices.

It will also be portable, Kuo stated in the report, and have independent computing power and storage. Nonetheless, this doesn’t mean that it will be truly “mobile,” like an iPhone, at least at first. Kuo stated that he expects the new helmet to improve its mobility as technology improves.

The analyst also added weight to the rumor that Apple’s headset will be equipped with sophisticated micro OLED displays. The company is working with Sony on this, he said, which is in contrast to previous reports that stated Apple was working with Taiwan Semiconductor Manufacturing Co. With the micro OLED displays and several optical modules, the headset will be able to provide a “see-through AR experience,” as well as a VR experience.

Now here’s the thing, why should you buy Apple’s MR headset when there are a lot less expensive options to choose from?

“Although Apple has been focusing on AR, we think the hardware specifications of this product can provide an immersive experience that is significantly better than existing VR products. We believe that Apple may highly integrate this helmet with video-related applications (e.g., Apple TV+, Apple Arcade, etc.) as one of the key selling points,” Kuo wrote.

He stated that Apple’s mixed reality headset is expected to cost around $1,000 in the U.S.

As far as Apple’s AR glasses go, which are expected to provide an “optical see-through AR experience,” the Apple prognosticator expects a 2025 launch at the earliest. We’ll see if that pans out, as Kuo said he doesn’t think there’s a prototype for this product yet.

All in all, those are some exciting predictions from Kuo. Now let’s remember, although he is a noteworthy source, not everything he predicts comes true. If it is true, though, these Apple devices could change the game for AR and VR if they’re good.

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