Qualcomm sets up fund to improve metaverse ecology

This article is transferred from: China Electronic News

On March 22, Qualcomm announced the establishment of a snapdragon metaverse fund with a total amount of up to $100 million to create a unique immersive XR experience and developers and enterprises with relevant core AR and AI technologies.

In an interview with China Electronics News, the relevant person in charge of Qualcomm China said that the fund plan will be used by Qualcomm venture capital to make venture capital investments in leading XR companies, and provide funds for building a developer ecosystem rich in XR experience (including games, health, media, entertainment, education and enterprise applications) through Qualcomm technologies’ funded projects.

Qualcomm aims to achieve three potential goals

Regarding Qualcomm’s move, Zhong Xinlong, a researcher at the Institute of informatization and software industry of CCID think tank, said in an interview with China Electronics News that it is a common practice for XR enterprises to establish funds or developer plans to improve their ecology. Earlier, other manufacturers also carried out different forms of activities to improve their ecological construction, such as Google’s grow with Google growth plan HTC’s vive x accelerator program, vive ISV partner program, oculus start program, etc. “For Xiaolong metaverse fund, we look forward to enabling developers and enterprises of different sizes to create more possibilities when a new generation of spatial computing is launched,” said an Meng, President and CEO of Qualcomm

According to Qualcomm, Xiaolong metaverse fund will officially open its application in June this year. Enterprises and developers invested and funded by Xiaolong metaverse fund will have the opportunity to obtain leading XR platform technology, hardware suite, global investor network and joint marketing and promotion opportunities.

According to Zhong Xinlong, Qualcomm’s establishment of metaverse fund may achieve three potential goals. As a provider of XR integrated software and hardware solutions, Qualcomm first established a fund to help explore more partners and further promote its products. Secondly, the growth of smartphone market has slowed down in recent years, and metaverse related businesses, including XR terminals, may become the second business growth curve of Qualcomm. Finally, the establishment of the fund will help Qualcomm show the technical strength of its products, create a better reputation, and then create more classic application examples to attract more potential third-party customers

A new round of investment boom promotes the development of VR industry

Metaverse has not only accelerated the pace of Qualcomm’s layout of XR, but also entered a new round of activity in the field of XR investment and financing since the concept of “metaverse” became popular all over the world in 2021. Internationally, Microsoft plans to acquire Activision Blizzard for us $68.7 billion, Sony to acquire XR virtual platform developer, and snap to acquire ar waveguide display company; Domestically, byte beat acquired hardware manufacturer Pico with a large amount of money, XR enterprise became popular, Qitian completed round B + financing, and AR smart glasses enterprise rokid obtained round C financing of 700 million yuan. Metaverse has also attracted local government investment. In March this year, Beijing Tongzhou plans to establish a metaverse industry fund to build a fund covering the metaverse industry by relying on the Tongzhou industry guidance fund and combining other social capital in the way of “master Fund + direct investment”.

The reporter observed that since June 2021, the investment and financing boom has involved many application fields such as games, hardware, upstream display technology, education, training and 3D cloud platform, promoting the development and growth of the industry in terms of technology development, application expansion and market expansion. At the same time, the new round of investment and financing boom has not only formed a certain boost to promote the development of VR industry, but also promoted the decline in the price of VR terminal products and the in-depth development of game and content applications.

After the acquisition of VR and Pico technologies last year, Pico increased its investment in marketing. During the mwc2022 (World Mobile Communication Conference), byte beat reached a cooperation intention with Qualcomm. Liang Rubo, CEO of byte beat, said that its Pico related devices will be equipped with Qualcomm snapdragon spaces XR Developer Platform in the future. In terms of marketing, we promoted VR head display products through e-commerce live broadcast and other ways, which increased the market share of Pico products. According to the latest data, Pico has risen from the third largest VR hardware supplier in the world to the second, and its shipment volume is second only to meta quest VR head display. The industry expects that Pico terminal shipments are expected to increase significantly this year. Pico has also recently raised the sales target of VR terminals in 2022 from the original 1 million units to about 1.8 million units.