Expanding Reality discusses the rise of virtual reality (VR) and its expanding use in the military. VR has been used for simulation and training purposes by the military since the 1960s. The document outlines the growing VR market, projecting it to be a $35 billion industry by 2026. It also details how the US military's 2019 budget includes $64 billion to be spent on VR capabilities for training and simulation across various military assets. The increased use of VR by the military is allowing for more realistic training exercises using virtual environments.

1. Expanding Reality
The Rise of VR and its Economic Expansion into Military
Business Economics | Group 6
Ken Coleman, Holly Martin, Stella Mitchell, and Dustin Sheffield
1

2. 1790s
1820-30s
Panoramas | Immersive Paintings
Photography | Stereo Imagery
VR’s Beginnings
Capturing Reality Throughout the Ages
1870s
Movies
2-4

3. Early Simulators
Early HMDs
Military and University Research
1960S
1960
First Commercial Wave
1980-90s
1970-80s
2, 4, 5

4. Industry Expansion
Events Aerospace Medical GamingVideoMilitaryRetailEducation
$35B VR SOFTWARE TOTAL ADDRESSABLE MARKET
Aerospace/Engineering
$4.7
Medical
$5.1
Gaming
$11.6
Real Estate
$2.6
Education
$0.7
Retail
$1.6
Miltary
$1.4
Video
$3.2
Events
$4.1
6-12

5. “The United States Army will always be a lessons
learned organization utilizing After Action Reviews
(AARs) and lessons learned products to improve
our force. But now, VR will give our Army the
ability to conduct tough and realistic training more
often utilizing less money and reduce wear and
tear on equipment resulting in more frequently
trained force and improved readiness.”
- COL Dodson

6. Individual Income Tax
Corporate Income Tax
Custom Duties
Excise Taxes
Securities
US Treasury Bills
US Bonds
International Lending
Defense Spending
Where the Discretionary Budget Comes From
Military
Education
Housing &
Community
International
Affairs
Energy &
Environment
Transportation
Tax Revenue
Government
Borrowing
13

7. Defense Spending
Macro Spending
Military
Spending
$609.3B (16%)
Veteran
Benefits
$160.6B (4%)
Housing &
Community
$61.5B (2%)
International
Affairs
$50.2 B (1%)
Total
$881.6 B (23%)=13

8. Defense Spending
Micro Defense Spending (VR)
Air+Amphibious+Land+Subsurface+Space+VR=$64.3B in VR Capability
$10.70
$3.00
$1.30
$0.90
$2.20
$1.60
$7.40
$6.00
$1.30
$1.80
$1.10
$0.70
$2.00
$2.70
$0.30
$0.80
$2.00
$1.50
$0.80
$1.70
$2.10
$1.10
$1.10
$1.20
$1.20
$0.60
$0.30
$2.30
$3.70
$0.60
$0.30
$- $2.00 $4.00 $6.00 $8.00 $10.00 $12.00
77 F-35 Joint Strike Fighters
60 AH-64E Attack Helicopters
10 P-8A Aircraft
2 Virginia Class Submarines
1 Littoral Combat Ship
2 Fleet Replenishment Oilers (T-AO)
5,113 Joint Light Tactical Vehicles
30 Amphibious Combat Vehicles - $0.3 billion
5 Evolved Expendable Launch Vehicles
Space Based Infrared System
Ground Based Midcourse Defense
240 Patriot Advanced Capability (PAC-3)
9,733 Guided Multiple Launch Rocket System (GMLRS)
1,121 Joint Air-to-Ground Missiles
Columbia Class Submarine
Ground Based Strategic Deterrent
Price in Billions
MILITARY ASSETS WITH VR CAPABILITY IN 2018 BUDGET
14

9. Virtual Weapons Qualification
VR Ordnance Detectors VR Parachute Simulators
15-17

10. 13.3
17.7
0
5
10
15
20
2016 2026
FORECASTED
SPENDING(IN
BILLIONS)
The Future of VR
Overall Industry vs Military Sector
Global Military VR TrainingGlobal VR Growth
0.0
2.0
4.0
6.0
Unemployment Rate 1948-Current
0
5000
10000
15000
20000
25000
Government Employment 1948-Current
15, 18-21

11. Thank
You
1, 15

12. Work Citation
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healthcare/.
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playstation-vr.
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