VR Companies' Investments in China Have Doubled

VR Companies' Investments in China Have Doubled

Investments for virtual reality (VR) in China are increasing rapidly. A report by the South China Morning Post, Monday (14/11), private funding to develop this technology has more than doubled in 2021. This is due to signals of support from the Chinese government for this industry.

Fundraising and investment volume in China's VR sector has entered into a new period of growth which he described as explosive. Based on a report by Chinese research company Tuoluo Research, the volume of funding, mergers and acquisitions in China's VR and augmented reality (AR) industry reached 6.19 billion yuan or the equivalent of USD 871 million last year. While in the first half of 2022, an increase of 67 percent from last year.

 

It should be noted, by 2026, China wants to expand its VR industry output to 350 billion yuan, or six times that of last year with sales of VR devices exceeding 25 million units. The plan was realized with the 'obligation' to grow 100 VR companies as its backbone.

In an article analyzing the government's VR industry action plan, the Chinese Academy of Information and Communication Technology (CAICT), a state think tank that reports directly to China's Ministry of Industry and Information Technology, said the plan was released against the backdrop of the sector's growing importance in the country. countries such as the United States and South Korea.

VR has been attracting renewed attention since last year as emerging technology concepts such as the metaverse have grown in popularity. Through VR and AR are considered as important technologies that support the development of immersive virtual worlds which could become the next iteration of the internet.

TikTok owner ByteDance, which bought VR headset start-up Pico last year, recently unveiled its Pico 4 VR standalone device, which has received positive reception in China, where competing Quest 2 from Facebook owner Meta Platforms is unavailable. .