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A New Reality
The VR industry in China experiences explosive growth as the uses of this technology permeate all walks of life
By Xia Yuanyuan | VOL.10 October 2018  ·2018-10-17


Pupils use VR devices to learn about science and technology in Hunan Province (VCG)

In a virtual laboratory at the First Affiliated Middle School of the Central China Normal University in Hubei Province, Fang Jing and her classmates are excited about science and technology. They can now preview particular experiments and accurately master experimental procedures before carrying them out in a real laboratory, by simply using a pair of virtual reality (VR) glasses.

What impressed the students most is not only the fresh experience, but also other benefits VR has to offer, like not suffering from collateral damage, waste and dangerous gases produced from real classroom experiments.

"In carrying out an experiment, I may not have time to notice it if the correct steps are not followed. When experimenting with VR glasses, only if the steps are correct can we continue," said Fang. She added that VR technology also allows the students to carry out experiments previously regarded as dangerous, in the knowledge that apparatus would not literally blow up in their faces.

In recent years, VR technology has been applied in various fields in China, including online gaming, education, e-commerce and rehabilitation. It comes as no surprise given China's insatiable appetite for technology that the country's VR market is taking a big leap.

According to Wang Peng, deputy head of China Center for Information Industry Development under the Ministry of Industry and Information Technology (MIIT), China's VR market will exceed $13.1 billion by 2020, with an annual compound growth rate of over 120 percent.

Expansive growth

VR is an interactive computer-generated experience using computer-based technology to simulate a virtual 3D environment that resembles reality. With the help of equipment such as helmets and glasses, users feel that they are really experiencing virtual scenes.

Statistics released by MIIT reveal that China's VR market expanded 164 percent year on year to reach $2.4 billion in 2017.

According to the 2018-22 Report on Virtual Reality Product Industry Market and Investment Prospects released by the newsijie.com, a professional information website based in Beijing, the scale of China's VR users is expanding rapidly. In 2014, the total number of active VR users in China reached 200,000; the number increased to 90 million in 2017; and in 2018, it's expected to increase significantly to 170 million.

According to the report, regarding China's VR market value, the VR headset market occupies 59.4 percent, ranking first, followed by the VR experience pavilion with a market share of 10.3 percent and VR cameras accounted for 9.7 percent.

China's VR headset market grew 200 percent in the first quarter of 2018, driven by a strong performance of the standalone headset niche market, said independent analyst company Canalys.

The strong Chinese VR headset market growth is driven by the fast growing standalone VR headset segment as China now dominates the niche market, accounting for 82 percent of global shipments. According to MIIT, in the first quarter of 2018, standalone VR headsets accounted for 51 percent of the VR market in China, with 94,000 units shipped.

Wide application

In recent years, VR technology has been applied in many areas in China. According to AskCI Consulting, an agency offering analytics and financial advisory services in China, in 2017, in China's VR technology application sector, the gaming sector accounted for the highest proportion of 29 percent, followed by the film and television live broadcast with 18 percent, and education, making up 14 percent. In March, in Beijing No.1 Intermediate People's Court, VR technology was used in a courtroom for the first time in a criminal case.

In the court, wearing a pair of VR glasses and operating a hand set, a witness could move the simulated images of a suspected murderer and victim on the screen to replicate the crime scenes he had seen. Besides, the VR technology is part of a visualization system which also includes a projection that can present evidence including texts, photos and videos.

VR technology has also been used in drug rehabilitation centers. In Shanghai, several drug rehabilitation centers are using VR technology to help recovering addicts.

One key problem in kicking off the drug habit is the difficulty for the staff and even the addicts to know how badly they are addicted. Users wear VR helmets with an eye-movement tracking system and then "walk into" scenes with drugs and other paraphernalia. Their eye movement, together with other biological indicators such as heart rate and skin conductivity, is recorded as an objective way to show their level of addiction.

The application helps staff members understand the sufferers' level of addiction and assist them to turn their lives around more quickly, according to information released by Shanghai Drug Rehabilitation Administration. Education is also benefiting. VR is injecting new vitality into teaching.

Like Fang, students don wearable screens and wired gloves, to interact with virtual environments, for an experience much richer than that provided by traditional teaching.

At the Sichuan University in southwest China's Sichuan Province, atoms and molecules have been displayed to students in a smart teaching environment. With mixed reality technology, students can not only see images of chemical structures but also stretch and distort them with their fingers by touching the screen.

Policy support

At present, VR is still in its infancy and has unlimited potential. But like other new technologies, it brings some new risks.

According to the 42nd Statistical Report on Internet Development in China released by China Internet Network Information Center, at present, China's VR products are still mainly developed by startups which are faced with problems including the shortage of technical talents, obstacles in developing core technologies, and improvement of industry maturity.

To further promote the development of the industry, China made policies to support the research and development of core VR technology. The MIIT said it would speed up the creation and revision of industry standards and promote the application of VR technology and products in other areas.

The Virtual Reality Industry Alliance in China, an industry alliance established in March with the support of MIIT, issued standards for virtual reality devices on April 6 to further standardize the industry, which cover the resolution, system latency, and field of view, including tracking systems of various types of display devices. The standards can be used to regulate and guide all kinds of VR headset display device design, production, testing and experimentation.

Zhang Feng, Chief Engineer of MIIT outlined plans to further speed up the promotion and standardization of the industry. He noted that optimizing the industrial development process is important. In addition, he pointed out that, it is necessary to strengthen the core technology of the industry and develop VR industrial chain, focusing on supporting the development of core devices, the development of VR modeling and simulation, enhancing human-computer interaction and constantly improving the hardware and software.

(Comments to xyy@chinafrica.cn)

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