If there’s one thing that any innovative start-up needs most to survive, it’s funding.
Virtual, augmented, and mixed reality (VR/AR/MR) technology are more accessible, with open code environments to explore and affordable hardware.
Currently, interoperable and open standards are increasing in awareness across immersive professionals. Moreover, interoperable VR/AR/MR solutions increase a company’s product value by allowing end-users to experience immersive offerings across numerous platforms.
Yet, companies still need access to the proper support to create something truly incredible.
The extended reality (XR) ecosystem is a significant part of the value chain for the XR world.
However, access to finance is still a considerable challenge for many European companies. Many innovators today have had to access creative forms of funding to make it into the market.
What Virtual Reality Venture Capital Funding is Available?
Less than a quarter of the companies assessed in the report had access to venture capital funding. Fortunately, this is beginning to change.
The pandemic of 2020 has pushed many parts of the world and various industries to further invest in disruptive technology to improve collaboration, innovation, and productivity when employees can no longer work together in the same environment. The need for virtual shared spaces and AR direction is more significant than ever, and funding opportunities are developing.
Some of the most prominent Venture Capitals for VR, such as Venture Realities, and Gumi (in Japan), are also beginning to branch out into Europe. These innovators offer support alongside national EU schemes and funding solutions to make the world more immersive.
The European Commission announced in March 2021 the start of a new online event with a budget of more than $10 billion. This event aims to deliver more funding for transformative technology to European companies.
Virtual Reality Funding is Growing
Venture capital opportunities are rapidly growing for those interested in XR. For the UK, London is a significant source of opportunity. London is one of the world’s largest financial centres and offers the country many VR and AR opportunities. There are also various grant opportunities in the UK, such as the Digital Catapult.
Start-ups in the UK also enjoy a more comprehensive range of tax breaks, such as R&D tax credits for those involved in the XR environment and the development of the Enterprise Investment Scheme, which encourages angel investors to get involved with transformative brands.
Driven by increasing demand in the XR landscape, VC opportunities are rising throughout the UK, Europe, and the US. However, it’s worth noting that these solutions only represent one aspect of the funding available. For companies willing to get creative, all kinds of seed funding, grant, and competition offerings can make the journey into XR more affordable.
