Recently, Microsoft announced that Minecraft Earth, an augmented reality game, will be shutting down in June. The company went on to say that it wants to “reallocate” its limited resources to other parts of the Minecraft community.
Augmented Reality (AR) is defined by Merriam-Webster’s dictionary as “an enhanced version of reality created by the use of technology to overlay digital information on an image of something being viewed through a device (such as a smartphone camera).” While this is a down moment for AR, some believe the gaming format will make an eventual comeback.
VentureBeat recently released an article entitled “Minecraft Earth shuts down, but AR gaming should bounce back”. In this article, Lalit Sharma says that research indicates the AR gaming market will continue to grow through 2026, so augmented reality should “bounce-back” from this brief stumble.
“The good news is that the same research also forecasts an expected bounce-back,” he wrote. “It suggests that the global AR gaming market could hit $28.6 billion by 2026, with a CAGR of 34.80% during 2021-2026.”
The Profit‘s Take:
AR’s future was always unclear. AR experiences simply aren’t that compelling at the moment. Minecraft Earth had the double challenge of a pandemic that prevented many from going outside. Maybe there’s a world where AR is mainstream because the functionality is embedded in something like a contact lens, but I am bearish for the most part. VR has so much more long-term potential as an entertainment medium.
(All information was provided by Venture Beat)