Will Microsoft's smartglasses strategy be overshadowed by rivals?

Virtual reality (VR) and augmented reality (AR) wearables are still in their infancy, but Microsoft is preparing the foundations to bring the technologies together into one device. But it won't be the first to do so.

AR and VR wearable technology are different and inspiring. The lenses of VR headsets are opaque, which occludes the surrounding environment, immersing wearers in a digital world. Gaming, exploration, content creation and more are some VR applications. Microsoft's partners have already begun bringing affordable VR headsets to consumers.

The lenses on AR headsets, like Microsoft's HoloLens, are clear. Thus, wearers can see their surroundings while they interact with digital artifacts or holograms overlaid on the real world. AR-enhanced surgeries and car manufacturing where adjustments are made to holograms rather than expensive physical prototypes, are examples of AR uses.

What if the distinct strengths of AR and VR were brought to one wearable device? Microsoft's HoloLens creator Alex Kipman, recently garnered attention by announcing that Microsoft is on that very path. But peering outside of Redmond reveals that companies like Samsung and Osterhout Design Group (ODG) may grab consumer mindshare for such a device before Microsoft.

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