What the iPhone 7 says about Apple’s Future Augmented Reality Plans

I believe Apple’s next big iPhone release is going to feature augmented reality technology. Obviously, nobody at Apple has said anything about such a product. But the now shipping iPhone 7 Plus, complete with dual-camera technology, is the latest hint Apple is moving in THAT direction. This, along with several high-profile company purchases—Metaio in 2015 and PrimeSense in 2013—point to this technology eventually appearing in products. One more thing: Apple CEO Tim Cook can’t stop talking about how big an opportunity augmented reality represents.

Dual-Camera Technology
Apple executives spent a great deal of time during the recent iPhone 7 launch event taking about the current and future capabilities of the two 12 megapixel cameras integrated into the iPhone 7 Plus. The first camera is a 28mm-equivalent lens most would consider a wide angle (the iPhone 7 has the same camera). The second is a 56mm equivalent and, while Apple’s Phil Shiller kept calling it a telephoto lens, the reality is its’s actually more of a portrait lens. In addition to giving the phone an effective 2X optical zoom, the dual cameras enable a long list of software capabilities that should result in notably better photos for most users. That’s interesting (and very useful), but what interests me more about this hardware is the fact Apple could use the dual cameras to capture information about the objects and space in front of the cameras. Two cameras allow the device to capture and create depth-mapping information.

Earlier this year I wrote about Lenovo’s Phab Pro 2, the first Tango-enabled smartphone. Tango is Google’s handheld augmented reality platform. The Lenovo phone actually uses three cameras and a host of other sensors to capture motion, depth, and local area information about the phone’s surroundings. The result is a device that knows where it is in space, which lets you do many fascinating things in augmented reality. To vastly oversimply, think about what Pokémon Go does on your current smartphone but many times smarter and more powerful.

Two Key Apple Acquisitions
There are two companies Apple purchased recently that make me think they’re moving toward this handheld augmented reality future: Metaio and PrimeSense. Apple bought Metaio in May 2015. It was a German company, started in 2003, that sold software that pulled together camera images with computer-generated objects. Before the purchase, numerous companies used the technology to create applications for use in different vertical markets including retail, industrial, and automotive. After completing the purchase, Apple took the product off the market. Many assume Apple is working to create custom silicon in conjunction with this software for future products.

PrimeSense was an Israeli 3D sensor company Apple purchased for $345M in 2013. The company had a mobile-sized 3D sensor (code named Capri) that worked with its software technology to scan and captures three-dimensional objects. The company was also a founding member of the open source framework called OpenNI (Natural Interaction) designed to capture body motion and hand tracking. Stories at the time of the acquisition noted the Capri sensor was relatively expensive to produce which kept it from gaining the attention of other device manufacturers. This is the type of tech Apple loves to integrate into its hardware to drive additional differentiation from the rest of in the market.

Cook on Augmented Reality
Finally, there are Tim Cook’s comments. In the most recent Apple earnings call, he pointed out that, while he thinks both virtual and augmented reality are interesting, he sees a much bigger opportunity in augmented reality, especially regarding commercial use cases (I strongly agree). More recently, in an interview on Good Morning America, Cook once again spelled out his enthusiasm for augmented reality. He noted using AR, two people can share a common experience, which is hard to do in the heavily isolated world of VR.

Now, it may well be that Cook’s recent comments around AR versus VR are meant to throw people off Apple’s trail. In fact, I think it’s highly likely Apple is working on both technologies and, eventually, we may well see some eyewear that utilizes not only the technologies above but a future version of the company’s new W1 chip currently shipping in the AirPods. But my bet is, when Apple heads toward its next big hardware revision, we’ll see an iPhone (and maybe an iPad Pro) with AR capabilities.

Published by

Tom Mainelli

Tom Mainelli has covered the technology industry since 1995. He manages IDC's Devices and Displays group, which covers a broad range of hardware categories including PCs, tablets, smartphones, thin clients, displays, and wearables. He works closely with tech companies, industry contacts, and other analysts to provide in-depth insight and analysis on the always-evolving market of endpoint devices and their related services. In addition to overseeing the collection of historical shipment data and the forecasting of shipment trends in cooperation with IDC's Tracker organization, he also heads up numerous primary research initiatives at IDC. Chief among them is the fielding and analysis of IDC's influential, multi-country Consumer and Commercial PC, Tablet, and Smartphone Buyer Surveys. Mainelli is also driving new research at IDC around the technologies of augmented and virtual reality.

703 thoughts on “What the iPhone 7 says about Apple’s Future Augmented Reality Plans”

  1. I think it might be more interesting to look into what’s happening outside Apple, that’s usually a strong source of inspiration for them.
    I don’t think Apple’s stuff will be backpack- or PC-based: backpack is inelegant, and Macs don’t have the graphical oomph for VR.
    I’m not even sure it will be phone-based, that would require premium components (screen especially) that Apple has been eschewing, and a boatload of sensors that’ll take up a fair bit of power, money and space to serve a small percentage of users.
    Apple seem to easily fragment their ecosystem, and to love selling more stuff to their captive customers. I wouldn’t be too surprised by a dedicated headset, or at least a VR-specific ultrapremium phone.
    Personally, I’d much rather have AR glasses than immersive VR though.

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