PTC has announced that it has signed an agreement to acquire Qualcomm’s augmented reality platform Vuforia for $65 million. Vuforia -- the name a clever and evocative portmanteau – may be one of the most advanced augmented reality (AR) programs on the market. Its acquisition raises a number of questions. First and foremost, what’s PTC going to do with an AR platform? Secondly, what does this have to do with models in swimsuits?
But before analyzing this latest acquisition, it’s worth taking a look at what Vuforia provides its users.
In essence, Vuforia is an API that allows companies to develop interactive, augmented reality experiences for their customers. Today those experiences have manifested themselves in a number of ways, however the most talked about was a Maxim magazines cover which used a Vuforia powered app to transform a still photo of model Bar Rafaeli into video of a swimsuit clad dancer.
So is it clear – maybe after the initial euphoria -- to see augmented reality has the opportunity to extend a physical product’s value into the digital realm?
When you think about where PTC’s headed, you might actually guess why they chose Vuforia as an acquisition target.
Over that past year PTC has started to ramp up its investment (and promotion) of Internet of Things (IoT) platform. Clearly, PTC sees that IoT-enabled products will begin to dominate the market in the next few years and be a driving force in what motivated consumers to choose one product over another in the next decade. For PTC this IoT vision extends way beyond our current understanding of an IoT enabled device.
“Because of what IoT is enabling, more and more products are now a mixture of digital and part physical content. So, naturally, the ways in which we interact with these products will evolve toward a mixed-reality model that blends physical and digital interactions.” Said PTC CEO Jim Heppelmann.
Mixed-reality. Not exactly the business PTC used to be in.
But in all seriousness, once PTC embeds Vuforia tools within its larger product development framework, users will begin to see a more mature (and future facing) product development ecosystems. Imagine building a complex machine (an aircraft, for example) with components that can be monitored and visualized from any place in the world via an app. Service times and mechanical malfunctions could possibly be reduced making the airplane dramatically more productive.
And that concept extends to nearly any product.
What if you could buy a toy, and with it came an app that allowed you to pre-visualize upgrades (or configuration options) as the company released them. If a user could find an upgrade that they liked, they’d have the option to purchase it from the app and then have it shipped directly to their door. What if you could see your how your IKEA furniture could be assembled while you were shopping for it?
Hopefully, now augmented reality now appears vital to product design or fits better the bigger business picture and we won’t accuse PTC management of a midlife crisis for which a scantily clad supermodel served as a catalyst.