Back in 2021, Varjo, a company renowned for its top-notch enterprise MR headsets, briefly ventured into the consumer VR sector with the Aero headset. However, recent developments indicate that Varjo is steering its focus back towards training simulations and deeper integrations tailored for enterprise needs, diminishing the likelihood of a successor to the Aero.
In a conversation with Road to VR, Patrick Wyatt, Varjo’s Chief Product Officer, delved into the firm’s renewed emphasis on integrating its headsets for particular applications. According to Wyatt, training simulations, particularly within the military and aviation sectors, are emerging as vital areas for Varjo. The company is concentrating on delivering comprehensive solutions rather than merely selling the hardware and leaving clients to puzzle out their deployment.
This approach has led Varjo to partner with industry giants like Leonardo, a prominent helicopter manufacturer. Together, they’ve developed the Virtual Extended Reality (VxR) system, which incorporates Varjo headsets as a crucial component. Notably, the system has been awarded the FAA FTD Level 7 Certification, the pinnacle of flight simulator standards. Varjo proudly touts this achievement as the “first-ever VR-based training system to reach this certification level.”
Moving beyond simply offering standalone headsets, Varjo is bolstering its “solutions engineering” capabilities by working hand in hand with clients to devise and apply custom solutions that effectively utilize Varjo’s technology.
To back its commitment to this business strategy, the firm has launched specialized versions of its headsets to meet common demands. Among these is the ‘Focal Edition’ of the XR-4, which features auto-focus capabilities for its passthrough cameras, making it particularly useful for interacting with close-range controls and displays. Additionally, there’s a ‘Secure Edition’ of the XR-4 designed for “classified environments.”
Prices reflect these unique features, with the base XR-4 headset priced at $6,000, while the XR-4 Focal Edition and Secure Edition cost $10,000 and upwards of $14,000, respectively. Patrick Wyatt noted that Varjo plans to support its XR-4 series through 2030, ensuring clients long-term product reliability.
While embracing these business-focused strategies, Varjo appears to be moving away from the high-end consumer VR scene. The Aero, which made its consumer debut in 2021, seems to be Varjo’s first and only attempt at courting VR enthusiasts. Though initially envisioned as the start of an ongoing series, the company now indicates that a follow-up to Aero is not in the cards. Wyatt remarked, “No one is gonna say ‘never’ but we’re going more and more in the other direction.”
For VR fans, this shift might be disappointing but seems sensible for Varjo, especially since its headsets are known for their visual clarity but not their compact form. As the VR market for enthusiasts trends toward smaller, lighter headsets such as Bigscreen Beyond and MeganeX Superlight, Varjo would face significant challenges revising its designs to fit those demands.
Instead, Varjo reports a doubling of business activity in military sectors since the XR-4 launched in early 2024. The company currently employs over 200 staff and asserts its tech is utilized by 19 of the top 20 global defense and aerospace firms, as well as a quarter of the Fortune 100 companies.