Back in 2021, Varjo ventured into the world of consumer VR with its Aero headset. However, the company has since decided to shift its focus primarily toward enterprise applications, particularly in training simulations for industries like military and aeronautics. This new direction means any potential sequel to the Aero headset is likely off the table.
During a conversation with Road to VR, Patrick Wyatt, Varjo’s chief product officer, shared insights into the company’s current strategy. Varjo is now prioritizing creating comprehensive solutions that meet specific client requirements rather than merely selling their headsets as standalone products.
Varjo has found a burgeoning market in training simulations and has aligned with companies such as Leonardo, a well-known helicopter manufacturer, to develop systems like the Virtual Extended Reality (VxR) for pilot training. These headsets have earned FAA FTD Level 7 Certification, marking them among the top flight simulators due to their high visual quality. This certification is noteworthy because it represents the first time a VR-based training system has achieved this level.
In line with its new business approach, Varjo is expanding its “solutions engineering” division, dedicated to working directly with clients to create and implement solutions tailored to their needs by utilizing Varjo headsets. The company’s recent initiatives include specialized products, such as the XR-4 ‘Focal Edition,’ featuring autofocus for closer inspections, and the ‘Secure Edition,’ designed for classified settings.
These product variations come with premium price tags. The standard XR-4 starts at $6,000, but the Focal Edition rises to $10,000, while the Secure Edition can exceed $14,000.
Wyatt has also confirmed that Varjo will back its XR-4 headset series until 2030, providing businesses with a long-term commitment to product support. This helps solidify Varjo’s pivot from the consumer VR space, as high-end consumer headsets seem to be a thing of the past for them.
While initially, there was hope for the Aero headset to spark a series for VR enthusiasts, Wyatt now hints otherwise, suggesting their focus is moving away from that market. The shift away from consumer headsets seems sensible given the continuous demand for smaller, lighter models in the enthusiast space, a trend Varjo’s designs have not kept up with.
Varjo reports increasing demand for its enterprise solutions, with a growing business segment in military sectors. This pivot appears to be yielding results, with the company claiming its technology is prominent within 19 of the top 20 global defense and aerospace organizations and has a presence in 25% of Fortune 100 companies.
Varjo employs over 200 people, and its expanding footprint in the enterprise market underscores its transition from catering to individual consumers to serving large-scale industrial needs.