In 2021, Varjo made its entry into the consumer VR market with the Aero headset. However, a shift in focus has led the company to redirect its energies towards enterprise needs, particularly in training simulations for sectors such as military and aeronautics. Speaking with Road to VR, Patrick Wyatt, Varjo’s chief product officer, explained that the company is building deeper solutions rather than just selling headsets, turning its eye to tailored applications.
Training simulations, especially those for helicopter pilots, have become an exciting new venture for Varjo. Collaborating with major companies like Leonardo, Varjo has developed the Virtual Extended Reality (VxR) training system. This setup, featuring Varjo’s headsets, has been awarded the prestigious FAA FTD Level 7 Certification, marking it as a top-tier flight simulator—the first VR-based system to receive this recognition. The incredible visual clarity of Varjo’s technology played a key role in achieving this level of fidelity.
Varjo is not merely pushing out hardware but is investing in “solutions engineering.” This involves working closely with customers to develop and implement practical solutions using Varjo technology. For example, the company has released specialized versions of its headsets like the XR-4 Focal Edition and Secure Edition, catering to specific professional needs. The Focal Edition enhances interactions with close-range objects thanks to its autofocus feature, while the Secure Edition is suited to environments requiring high security.
These tailored headsets do come with a premium price tag, with the Focal Edition costing $10,000 and the Secure Edition potentially exceeding $14,000. As part of its commitment to long-term support, Wyatt confirmed that Varjo will continue to back the XR-4 series until 2030, offering companies assurance of reliability and ongoing service.
Turning away from the consumer market indicates Varjo’s reorientation towards more strategic partnerships and enterprise applications. Initially, with the Aero model, Varjo intended to appeal to VR enthusiasts with a series of consumer headsets. However, as Wyatt remarked, the company is steering away from that path. Considering that modern VR headset trends emphasize compactness, as seen with models like Bigscreen Beyond and MeganeX Superlight, Varjo would require a radical rethink of its device design to compete.
Despite the shift, Varjo’s prospects are promising beyond the consumer sphere. Since the XR-4’s release in early 2024, the demand for Varjo’s enterprise headsets has soared, especially in military circles. Varjo states its technology is integrated within 19 of the world’s top 20 defense and aerospace organizations, and serves 25% of Fortune 100 companies, reflecting its growing prominence in high-demand sectors. With more than 200 employees crafting these sophisticated solutions, Varjo continues to expand its influence across the professional landscape.