Over 16 million VR devices to sell in 2016, investment crosses $1.1 billion

Investment in virtual reality (VR) and augmented reality (AR) platforms has crossed $1.1 billion in these first months of 2016, almost doubling the investment in VR over the entirety of 2015. Magic Leap, a company that deals in mixed reality, is leading the charge with an $800 million investment in a third round of funding, reports Fortune.Other notable entrants in the funding pool are Mind Maze, which deals in medical applications of VR, and Blippar, which is an augmented reality platform. The former managed to raise $100 million in funding and the latter, $54 million. Both companies are valued at well over $1 billion.Wevr, most notable for their work on the Sports Illustrated VR platform, also raised $25 million in a bid to start the YouTube of VR videos. “AR/VR is the fourth consumer tech platform shift after PC, web, and the smartphone/tablet revolutions,” says Tim Merel, founder and CEO of Digi-Capital.VentureBeat reports that analysts at analytics and IT services firm, SuperData, indicate an estimated $3.1 billion in earnings from VR platforms this year, a 30 per-cent reduction from their $5.1 billion estimate in January. They put the blame on the PC, indicating the limited availability of VR ready PCs and the high prices of PC grade VR. They also add that consoles, the PlayStation in particular, might be able to make up for the shortfall if and when PSVR launches later this year.Interestingly, the firm reports that they expect 16.7 million VR devices to ship this year, including Google Cardboard and its variants. “There is a lack of content in the beginning of a new media cycle, which is something that VR is facing now,” said Stephanie Llamas, an analyst at SuperData. She adds that revenues are expected to touch $24 billion by 2020, however.