Google is returning to virtual reality with Android XR—and a new strategy

At its annual Google I/O developer conference in Mountain View next week, Google will try to rally developers around one of its next big bets: Android XR. Later this year, Samsung is set to release the first VR headset powered by the spatial computing operating system, and Google is aiming to attract as many developers as possible to build apps for the device.

That’s no small task for a company whose history with AR and VR has been marked by inconsistency. Google was among the first to experiment with AR glasses, gave millions their first taste of VR through low-cost mobile viewers, and even launched a stand-alone immersive VR headset before Meta—only to abandon each project in rapid succession, leaving partners frustrated.

“Google has burnt a lot of bridges in the XR community,” cautions an industry insider who spoke on condition of anonymity out of fear of reprisal.

Still, there’s a sense of cautious optimism among AR and VR developers that this time might be different. One reason: the competitive landscape has changed. With Apple and Meta investing tens of billions into immersive technology, the pressure is on. Android XR also aligns with Google’s current strengths, particularly in AI and in its push to expand Android’s reach.

A Google spokesperson declined to comment for this story.

Daydreams and Glassholes

Google’s first foray into AR/VR remains one of the industry’s most infamous missteps. Unveiled in 2012, Google Glass paired a camera with a tiny display and was touted as a peek into a post-smartphone world. Instead, it became a cautionary tale. Critics were unnerved by the device’s always-on camera, dubbing users “glassholes.” A $1,500 price tag and limited usefulness sealed its fate, and Google soon dropped its consumer ambitions for Glass.

Despite that bruising experience, the company didn’t fully retreat from the space. In 2014, Google introduced Cardboard, a DIY viewer that turned smartphones into rudimentary VR devices. That effort later evolved into Daydream, a more comfortable headset with a controller, supporting immersive videos and simple games.

Cardboard and Daydream did reach millions of users, but their reliance on smartphones made them impractical for sustained use. “We were looking for that spark of adoption,” says a former Google employee who worked on Daydream. (Former employees were also granted anonymity by Fast Company out of fear of reprisal.) That spark never came. “It never became a toothbrush use case,” the employee adds, referencing the goal of making the device something people use daily, like brushing their teeth.

Over time, Google did achieve that with many of its products: Billions now use Gmail, Chrome, and Maps every day. But that success may have distorted expectations for VR. “You tend to forget how hard it is to get billions of users,” says a second former Google employee involved in VR.

Expecting too much too soon may have doomed these projects. “It’s a self-fulfilling prophecy,” the first former employee says.

A Long List of Cancelled Projects

Google eventually moved beyond smartphone-based VR with a stand-alone headset built in partnership with Lenovo in 2018. Running Daydream, the device had potential to compete with Meta’s Quest, but Google scrapped it a year later. “When it didn’t become a huge success overnight, they pivoted,” says the industry insider.

Daydream joined a growing list of abandoned Google AR/VR efforts: the immersive storytelling series Spotlight Stories, the cloud-based video platform Jump and its professional camera line, the 3D modeling tool Blocks, the asset platform Poly, and several consumer VR cameras created with hardware partners.

Some of these projects were open-sourced upon cancellation. The popular VR painting app Tilt Brush, for example, lives on as a community-driven project on Meta’s Quest. Others survived the internal shakeups: Owlchemy Labs, acquired by Google in 2017, still thrives. Its whimsical title Job Simulator remains one of the best-selling games on Quest.

Many of Google’s early AR/VR projects had real potential—if only the company had stayed the course. “Google had all these weird, cool, fun projects and acquisitions that they made very early, but they just didn’t follow through with them,” says the industry insider.

A Lack of Conviction

Beyond high expectations, insiders point to a deeper issue: Google’s hesitation to publicly commit to AR and VR. “Google was not willing to put a shoe on the ground the same way Meta has,” says the first former employee.

“The difference was that Mark [Zuckerberg] was out there, publicly saying: I’m staking my future on this,” agrees the second. “I never felt that we had that type of conviction from [Google CEO] Sundar [Pichai].”

Zuckerberg’s enthusiasm for VR and the metaverse has been widely mocked, but Meta’s persistence has paid off. The company has sold tens of millions of Quest headsets, and its Ray-Ban smart glasses have found surprising success. Apple’s Vision Pro and its reported investments in smart glasses further validate the space.

Now Google is returning with big ambitions of its own. Having turned Android into the world’s most widely used mobile OS, the company wants to replicate that success with Android XR. Unlike Apple and Meta, Google plans to build this future through partnerships—starting with Samsung—rather than relying on in-house hardware.

There’s precedent for this kind of turnaround. After an underwhelming start, Google’s Android TV platform eventually matured into one of the top smart TV ecosystems, with over 270 million monthly active users on Google TV-powered devices.

Google’s Assets: Android and AI

To replicate that success in XR, Google will once again leverage its mobile ecosystem. “Google will look to work with developers to port existing Android apps to Android XR, much like the way Apple brought iPadOS apps to the Vision Pro,” says CCS Insight analyst Gebbie. “This could give Google an advantage over Meta.”

Google’s massive AI investments could also prove pivotal. The company has ">already demonstrated how AI can enhance AR glasses, and Gebbie believes AI will be key in simplifying interaction within spatial computing systems.

With the tech in place, Google’s future in XR hinges on one factor: commitment. “This time around, Google must fully commit to Android XR if it is to seriously try and build an ecosystem,” says Gebbie. “If Google makes another false start, then its partners may look elsewhere.”

“As long as Google has conviction, I would never bet against them,” agrees the second former employee.

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