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— CH. 1 · INTRODUCTION —

Virtual reality

~9 min read · Ch. 1 of 7
7 sections
  • Virtual reality has a stranger origin than most people expect. In 1938, a French playwright named Antonin Artaud described the illusory nature of theatrical characters as "la réalité virtuelle" in a collection of essays called Le Théâtre et son double. He was not thinking about computers. He was thinking about actors, costumes, and the peculiar trick that theatre plays on the mind.

    The phrase would later travel from philosophy to science fiction. In 1982, a novel called The Judas Mandala by Damien Broderick used "virtual reality" in a science fiction context for what appears to be the first time. A decade after that, the term had moved from paperback shelves into living rooms, television commercials, and the fevered imagination of investors.

    What happened in between is a story of mechanical dream machines, government research labs, a headset too heavy to wear without hanging it from the ceiling, and a single entrepreneur who convinced the public that the future had arrived. It raises questions that have not been settled. What makes an experience feel real? How much of the body needs to be fooled before the mind follows? And when a technology promises to simulate reality, who owns the data about how you move through it?

  • Morton Heilig built the Sensorama in 1962, a mechanical cabinet that surrounded a single viewer with moving images, sound, smell, and wind. Predating digital computing entirely, it ran on film, not software. He had already patented a device he called the Telesphere Mask in 1960, describing it as a telescopic television apparatus that could deliver "moving three-dimensional images that may be in color, with 100% peripheral vision, binaural sound, scents, and air breezes." The language sounds like a contemporary product pitch. It was written before the first moon landing.

    Six years later, at Harvard, Professor Ivan Sutherland built what was widely described as the first head-mounted display for immersive simulation. He called it The Sword of Damocles, a name that came from its appearance. The device was so heavy that it had to be suspended from the ceiling by a mechanical arm. The graphics it generated were simple wire-frame rooms. Technically, it was an augmented reality device, using optical passthrough to blend virtual imagery with the real world the user was standing in.

    David Em, working at NASA's Jet Propulsion Laboratory from 1977 to 1984, became the first artist to create navigable virtual worlds. At MIT in 1978, researchers built the Aspen Movie Map, a virtual tour of the streets of Aspen that let users move through the city in summer mode, winter mode, or a stripped-down polygon mode. These were not consumer products. They were experiments in what it might mean to be somewhere you were not.

  • Jaron Lanier founded VPL Research in 1984, and the company would go on to build some of the most influential early VR hardware. Its product lineup included the DataGlove, the EyePhone, a system called Reality Built For Two, and the AudioSphere. VPL licensed the DataGlove technology to Mattel, which adapted it into the Power Glove, released in 1989 as one of the first affordable VR-adjacent devices a consumer could actually buy.

    Atari had taken its own run at the technology, founding a VR research lab in 1982. The lab closed after two years, a casualty of the video game industry crash of 1983. But its researchers did not disappear. Scott Fisher, Michael Naimark, and Brenda Laurel all continued working in VR-related fields after the lab shut down. Fisher would go on to lead the redesign of Eric Howlett's LEEP optical system for NASA's Ames Research Center in 1985, producing the VIEW workstation that provided the optical foundation for most early VR headsets.

    In 1988, the Cyberspace Project at Autodesk became the first to run VR on a low-cost personal computer. The project leader, Eric Gullichsen, left in 1990 to found Sense8 Corporation, where he developed the WorldToolKit SDK. It offered the first real-time graphics with texture mapping on a PC and spread through both industry and academia. By the late 1980s, Lanier's work at VPL had popularized the term "virtual reality" in the press, and the 1992 film Lawnmower Man carried it into the mainstream cultural vocabulary.

  • In 1991, a single year saw three distinct attempts to bring VR to the public. Sega announced a VR headset for its Mega Drive home console, using LCD screens, stereo headphones, and inertial sensors. Virtuality launched a networked multiplayer system installed in arcades worldwide, including a dedicated VR arcade at Embarcadero Center. Each multi-pod Virtuality system cost up to $73,000. And at the Electronic Visualization Laboratory, Carolina Cruz-Neira, Daniel J. Sandin, and Thomas A. DeFanti created the Cave automatic virtual environment, a cubic immersive room developed as Cruz-Neira's PhD thesis that used multi-projected walls so people could see their own bodies alongside others in the space.

    Also in 1991, Antonio Medina, an MIT graduate and NASA scientist, designed a VR system to drive Mars rovers from Earth in what felt like real time, building in compensation for the communication delay between Earth and Mars.

    Nicole Stenger created Angels in 1992, described as the first real-time interactive immersive film, navigated with a dataglove and high-resolution goggles. That same year, Louis Rosenberg built the virtual fixtures system at the U.S. Air Force's Armstrong Labs, using a full upper-body exoskeleton. It produced what researchers called the first true augmented reality experience incorporating sight, sound, and touch.

    Nintendo's Virtual Boy arrived in 1995 to widespread criticism for the physical discomfort it caused, including dizziness and nausea. By 1999, Philip Rosedale was trying a different approach: he founded Linden Lab with ambitions to build VR hardware, struggled with a clunky steel prototype users could wear on their shoulders, and eventually turned the concept into Second Life, a personal-computer-based virtual world.

  • Palmer Luckey designed the first Oculus Rift prototype in 2010. Built on the shell of an existing headset, it offered a 90-degree field of vision that was wider than anything previously available to consumers. Luckey solved the distortion problem that came with that wide field by writing software that pre-distorted the rendered image in real time before it reached the lens. In 2012, John Carmack presented the Rift at the E3 trade show. A Kickstarter campaign that year shipped development kits in 2013.

    In 2014, Facebook purchased Oculus VR. The price was publicly stated at $2 billion but was later clarified to be closer to $3 billion. ZeniMax, Carmack's former employer, subsequently sued Oculus and Facebook for allegedly taking company secrets; the verdict went in ZeniMax's favor, and the case was later settled out of court.

    Valve made a quieter but technically significant contribution in 2013, discovering that low-persistence displays could eliminate the lag and smear that had made earlier VR headsets nauseating. Valve shared this finding freely. Oculus adopted it across all their subsequent headsets. Valve's own SteamSight prototype, shown in early 2014, featured separate 1K displays per eye, positional tracking across a large area, and Fresnel lenses. HTC and Valve announced the HTC Vive in 2015, which used wall-mounted base stations and infrared light for positional tracking under a system called Lighthouse.

    In 2016, the Oculus Quest 2 had not yet arrived, but at least 230 companies were developing VR products, and Amazon, Apple, Facebook, Google, Microsoft, Sony, and Samsung all maintained dedicated teams. By 2021, the Oculus Quest 2 accounted for 80% of all VR headsets sold.

  • Flight training was one of the earliest serious applications, and it remains one of the most consequential. In 2021, the European Union Aviation Safety Agency approved the first VR-based Flight Simulation Training Device, built by Loft Dynamics for rotorcraft pilots. The U.S. Federal Aviation Administration followed with its own approval in 2024, qualifying Loft Dynamics' Airbus Helicopters H125 simulator. The device addresses a specific risk: around 20% of rotorcraft accidents occur during training flights. Practicing dangerous maneuvers in a simulator removes that risk entirely.

    In medicine, simulated surgical environments date to the 1990s. Programs like LapSim have demonstrated measurable improvements in task completion time and instrument handling after four-week training sessions. Studies at North Carolina medical institutions showed improvement among both students and practicing surgeons in procedures such as total hip arthroplasty. A system developed at North Carolina's Chapel Hill campus allows surgeons to overlay CT scan data on their direct view of a patient during laparoscopic procedures.

    In mental health, virtual reality exposure therapy treats anxiety disorders including post-traumatic stress disorder and specific phobias. A VR therapy for psychosis and agoraphobia, under assessment by the UK's National Institute for Health and Care Excellence, places a user in simulated public environments like cafes and busy streets while a virtual character provides guidance. Seventeen randomized controlled trials have shown VR applications to be effective in treating cognitive deficits linked to neurological diagnoses. In 2021, a South Korean documentary drew wide attention by allowing a grieving mother to interact with a virtual replica of her deceased daughter, prompting researchers to begin formally studying VR's role in bereavement.

  • Every VR system tracks its user continuously. That is not a side effect of the technology; it is the mechanism. Positional tracking, head rotation, hand movement, and response to virtual stimuli are all logged to create the illusion of presence. As eye-tracking sensors move toward becoming standard in headsets, the data they capture may indirectly reveal a user's ethnicity, personality traits, fears, emotions, interests, and physical and mental health conditions.

    Facebook's acquisition of Oculus brought these concerns into focus. In August 2020, Facebook announced that Oculus headsets would be tied to Facebook accounts, subject to Facebook's data collection terms and its real-name policy. Users whose accounts were suspended would lose access to the hardware they had bought. German regulators halted Oculus sales the following month, citing concerns that the policy violated GDPR. Facebook later created a separate Meta account system in 2022.

    In 2024, researchers from the University of Chicago demonstrated a specific attack against Meta Quest's Android-based operating system. By exploiting the headset's Developer Mode to install an infected app, they showed it was possible to capture login credentials and inject false information during online banking sessions conducted in VR. The researchers described the attack as difficult to execute outside controlled settings, but noted it would expose a target to phishing, fraud, and grooming. The General Data Protection Regulation in the EU and the California Consumer Privacy Act in the United States both apply to VR platforms, but researchers and regulators have noted that enforcing those laws across a global technology with this volume of data remains an open challenge.

Common questions

Who coined the term virtual reality?

The earliest published use of the term "virtual reality" in English appears in the 1958 translation of Antonin Artaud's 1938 essay collection Le Théâtre et son double. Myron Krueger coined the related term "artificial reality" in the 1970s, and Jaron Lanier is credited with popularizing "virtual reality" in mainstream media through his work at VPL Research in the late 1980s.

What was the first VR headset ever made?

Harvard Professor Ivan Sutherland, with help from students including Bob Sproull, created what is widely considered the first head-mounted display for immersive simulation in 1968. Called The Sword of Damocles, it was so heavy it had to be suspended from the ceiling. It displayed simple wire-frame rooms and was technically an augmented reality device due to optical passthrough.

How much did Facebook pay for Oculus VR?

Facebook purchased Oculus VR in 2014. The price was publicly stated at $2 billion but was later clarified to be closer to $3 billion.

What are the health risks of using VR headsets?

Prolonged VR use can cause motion sickness, eyestrain, headaches, and discomfort. One in 4,000 people may experience seizures or blackouts even without a prior history of epilepsy. Women experience headset-induced cybersickness symptoms at a rate of around 77%, compared to around 33% for men. Children are advised against VR use because of the headsets' weight and because young children may have difficulty distinguishing virtual from physical environments.

What is virtual reality used for in medicine?

VR is used in surgical training, rehabilitation, and mental health therapy. Programs like LapSim improve instrument handling and coordination, with measurable gains after four-week training sessions. Virtual reality exposure therapy treats PTSD and phobias, and seventeen randomized controlled trials have shown VR effective for cognitive deficits linked to neurological diagnoses.

What VR privacy risks do users face?

VR systems continuously log physical movements, eye tracking, and responses to virtual stimuli. Eye-tracking data may indirectly reveal ethnicity, personality traits, fears, and health conditions. In 2024, University of Chicago researchers demonstrated an attack on Meta Quest that could capture login credentials and inject false data during online banking sessions conducted in VR.

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