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A positive outlook for the immersive tech sector, according to survey
The Immersive Wire - 13 January 2025

Executive summary
Welcome to your weekly briefing on the metaverse and spatial computing. Here are your snippets to sound smarter in meetings this week:
Top story: Immersive Wire readers responded to their thoughts on immersive technologies. The full results show a positive outlook (see below).
Event: The Immersive Wire and City, University of London are working together for another networking event on 29 January. Come along!
Other stories: Sandbox VR and Netflix have launched Rebel Moon: The Descent, and Halliday debuted AI-powered smart glasses at CES 2025, featuring DigiWindow technology, a near-eye display that discreetly projects information without a lens (more below).
I hate how cold it is. Brrrrr.
Top story
I asked the readers of the Immersive Wire — predominantly senior members of the immersive technology sector — to answer a few questions on their hopes for 2025. I had 62 responses, so take the graphs and figures with some salt. Still, it shows a level of optimism which I did not expect.
While many respondents reflected on the economic challenges of the past two years, most expressed cautious hope for greater stability or even financial growth this year. A significant portion anticipates stronger earnings, emphasizing either a positive trajectory or at least a levelling out after recent turbulence. However, anonymous responses painted a slightly more sceptical picture, citing slow growth in Europe and ongoing concerns over whether the industry can overcome high hardware costs and market fragmentation. Still, a few contributors expect a shift from experimental XR projects toward more scalable, ROI-driven solutions, especially in enterprise training and health.


How useful is AI? Over two-thirds of respondents believe AI will positively impact their business performance in 2025, with only a small fraction seeing little to no benefit. This consensus highlights the technology's importance in operational efficiency and innovation. However, opinions varied when pressed further—some noted AI’s expanding role in smart glasses, while others warned of a looming “trough of disillusionment” where overhyped expectations could dampen public and investor confidence. Some respondents see AI as a 'once-in-a-generation' opportunity, particularly for smaller, lean companies poised to disrupt established industries.

Funding has a knowledge divide. While a substantial group expects funding to rise in 2025, over a third admitted uncertainty, reflecting the unpredictable market conditions ahead. Anonymous feedback highlighted a growing perception that XR is no longer seen as a priority compared to AI, which continues to attract both public attention and investment. Some expressed concerns that a broader economic downturn could strain funding across the tech landscape, while others noted a lingering dependence on major hardware players and external capital to support innovation in the immersive space. The divide in funding expectations mirrors the mixed confidence in both XR’s growth potential and whether emerging AI applications can sustain long-term interest.

So it’s a broadly positive picture for 2025. I wonder if the thaw is now out? And will it bear out after these cold winter months? We will see.
Were these the results you expected? |
Other stories
Ewha Womans University in South Korea has adopted VR training platforms developed by Cardiff-based clear_pixel VR to enhance laboratory and animal science education.
Halliday debuted AI-powered smart glasses at CES 2025, featuring DigiWindow technology, a near-eye display that discreetly projects information without a lens.
Infinite Reality closed a $3bn funding round from a private investor, positioning the company to expand its presence in the immersive technology sector.
Perkins Coie's seventh annual XR Report, based on insights from 305 industry insiders, reveals that 83% believe the XR sector remains underfunded despite over a decade of investment.
PulseJet Studios has released its VR music app PulseJet on the Meta App Store.
Rendever has launched Alcove Sanctuary, a consumer VR subscription app offering customizable spaces, virtual travel, meditation, and a family-friendly AI companion, Nova.
Resolution Games has launched Gears & Goo, its third title for Apple Vision Pro, a spatial real-time strategy game blending base building and territory expansion.
Sandbox VR and Netflix have launched Rebel Moon: The Descent, a new location-based VR experience available globally, marking their second collaboration after Squid Game Virtuals.
Note: The Immersive Wire is run by Tom Ffiske, who also works at Accenture. The contents of the newsletter should not be regarded as Accenture’s views.