Back in 2021, Varjo, known for crafting top-notch MR headsets for enterprises, took a shot at the consumer VR market with the Aero headset. However, it seems like they’re now pivoting away from that path. The company is sharpening its focus on training simulations and deeper enterprise solutions, casting doubt on the possibility of an Aero follow-up.
In a recent chat with Road to VR, Patrick Wyatt, the chief product officer at Varjo, delved into how the company is now channeling its efforts into more tailored integrations for its headsets.
Training simulations, especially for sectors like military and aeronautics, are proving to be a booming area for Varjo. Wyatt emphasized that the focus is now on finding solutions and achieving outcomes, rather than just pushing sales and leaving clients to figure things out on their own.
A key part of this strategy has been collaborating with firms like Leonardo, a major player in the helicopter manufacturing space. Together, they’ve developed the Virtual Extended Reality (VxR) helicopter pilot training system, which heavily incorporates Varjo’s headsets. Thanks to their headset’s superior visual clarity, they’ve gained FAA FTD Level 7 Certification—the highest simulator category of its kind. Varjo takes pride in claiming this as the first VR-based training system to hit this certification milestone.
In moving away from off-the-shelf headset sales, Varjo is amplifying its “solutions engineering” capabilities. This involves getting hands-on with customers to devise and deploy solutions that utilize Varjo technology to overcome specific challenges.
To underscore its dedication to this new direction, Varjo has been tailoring versions of its headsets to meet prevalent needs over the past few years. This includes crafting a ‘Focal Edition’ of the XR-4 headset, which adds auto-focus for the passthrough cameras. Unlike a fixed focus, this feature is a game-changer when engaging with close-up objects like flight controls. There’s also a ‘Secure Edition’ designed for environments requiring classified operations.
Pricing reflects the specialized nature of these headsets. While the standard XR-4 model starts at $6,000, the XR-4 Focal Edition jumps to $10,000, and the Secure Edition can surpass the $14,000 mark.
Wyatt also revealed that Varjo promises to support the XR-4 series until 2030, providing companies a solid assurance that these headsets will continue to meet demands over the long haul.
This commitment to extended support and tailored solutions marks a significant departure from the realm of high-end consumer headsets. While the Aero—a 2021 venture—was Varjo’s foray into consumer VR, any hopes for a successor seem faint. Wyatt told Road to VR, “Never say never, but we’re increasingly moving in a different direction.”
While this might be disappointing for VR enthusiasts, it’s likely the smart move for Varjo. Despite their headsets’ stellar visual resolution, Varjo has struggled with size issues. In contrast, other players in the VR space have zeroed in on creating smaller, lighter headsets. Catching up with this trend would mean Varjo would have to rethink its whole approach to headset design.
Instead, Varjo is seeing a surge in demand for its solutions from sectors beyond consumers. Wyatt notes that their sales volume for military applications has doubled since the XR-4 launched at the start of 2024.
As of now, the company employs over 200 people and boasts that its cutting-edge technology is in use by 19 of the world’s top 20 defense and aerospace firms, as well as a quarter of Fortune 100 companies.