The Augmented Reality (AR) and Virtual Reality (VR) industry involves the development and application of immersive technologies that blend digital and physical environments. AR overlays digital information onto the real world, while VR creates fully immersive digital experiences.
Market Growth
The global AR and VR market was valued at approximately $18.8 billion in 2020 and is projected to reach $297 billion by 2024, growing at a CAGR of 60.5%. The industry's growth is driven by technological advancements, increasing consumer demand for immersive experiences, and expanding applications in various sectors.
Applications and Impact
AR and VR have a significant impact on society by enhancing education, training, entertainment, and communication. In education, AR and VR enable interactive and immersive learning experiences, improving engagement and retention. In healthcare, these technologies are used for surgical simulations, medical training, and patient therapy. In retail, AR and VR provide virtual try-ons and immersive shopping experiences.
Acceleration Due to COVID-19
The COVID-19 pandemic has accelerated the adoption of AR and VR, as individuals and organizations seek innovative ways to connect, learn, and entertain. The increased need for remote interaction and virtual experiences has driven the demand for AR and VR solutions.
Challenges in the Industry
Despite the potential benefits, the AR and VR industry faces challenges related to content creation, hardware costs, and user acceptance. Addressing these issues is crucial for the continued growth and adoption of AR and VR technologies.
Future Prospects
The potential benefits of AR and VR innovations are immense. Continued investment and innovation in this sector are essential for driving growth. As technology continues to advance, the AR and VR industry will play a crucial role in shaping the future of various industries, providing engaging and immersive experiences, and enhancing the way we interact with the digital world.
How to connect with VC firms in the AR/VR Industry?
Target Key VC Firms
To connect with VCs in the AR/VR sector, target firms such as Sequoia Capital, Andreessen Horowitz, and Lightspeed Venture Partners. Research their investment portfolios to understand their focus areas and tailor your approach accordingly.
Networking Opportunities
Networking through industry conferences, AR/VR summits, and tech forums can provide opportunities to meet VC partners. These events are ideal for building relationships and understanding the interests of potential investors.
Effective Pitching Strategies
When pitching, focus on demonstrating the market potential, technological innovation, and scalability of your AR/VR solution. Be prepared to discuss your business model, customer acquisition strategies, and revenue projections in detail to showcase the viability of your business.
Participating in Demo Days
Participating in demo days hosted by AR/VR accelerators or incubators can help you showcase your product to a broader audience of VCs. These events offer a platform to present your innovation and gain valuable feedback.
Crafting a Compelling Story
Crafting a compelling story about your product’s impact and the problem it solves will resonate well with VC investors who are looking for high-growth potential startups. Emphasize the unique value proposition and real-world applications of your technology.
Comprehensive Pitch Deck
Following up with a comprehensive pitch deck that includes market analysis, go-to-market strategy, and potential exit opportunities can further strengthen your case. This shows that you have a well-thought-out plan for growth and profitability.
Highlighting Strategic Partnerships
Highlighting any strategic partnerships or collaborations with major tech companies or content creators can also add weight to your pitch. Demonstrating established connections can reassure VCs of your industry relevance and network strength.
Presenting a Strong Team
Ensuring that you present a well-rounded team with expertise in both AR/VR technology and business development will appeal to VCs looking for capable execution of your vision. A strong team is often a decisive factor in investment decisions.
Case Studies: Successful Funding Rounds with Angel Investors on Angels Partners
To connect with VCs in the AR/VR sector, target firms such as Sequoia Capital, Andreessen Horowitz, and Greylock Partners. These firms have a strong track record of investing in successful AR/VR startups.
Sequoia Capital
Sequoia Capital, known for backing companies like Unity and Niantic, focuses on high-growth potential and market disruption. Their investments aim to support startups that can revolutionize the AR/VR industry.
Andreessen Horowitz
Andreessen Horowitz, with investments in companies like Oculus and Magic Leap, looks for innovative AR/VR solutions that can scale globally. They prioritize technologies with the potential for significant market impact.
Greylock Partners
Greylock Partners, with a portfolio including 3D Robotics and Redfin, seeks out startups with strong user engagement and scalable business models. They focus on companies that can deliver sustained growth and user satisfaction.
Research and Connection
To connect with these VCs, research their investment portfolios and identify partners who have shown interest in your industry. Attend industry conferences, AR/VR summits, and tech forums where these VCs are likely to be present.
Participating in Demo Days
Participating in demo days hosted by AR/VR accelerators or incubators can also provide exposure. These events offer opportunities to showcase your product to a broader audience of potential investors.
Pitching to VCs
When pitching to VCs, emphasize your startup’s market opportunity, technological innovation, and scalability. Be prepared to discuss your business model, customer acquisition strategies, and revenue projections in detail.
Crafting a Compelling Story
Crafting a compelling story about your product’s impact and the problem it solves will resonate well with VC investors. Highlight the unique aspects and potential of your solution.
Comprehensive Pitch Deck
Follow up with a comprehensive pitch deck that includes market analysis, competitive landscape, and potential exit opportunities. This will provide VCs with a clear understanding of your business and its potential.
Strategic Partnerships
Highlighting any strategic partnerships or collaborations with major tech companies or entertainment studios can also add weight to your pitch. These relationships can demonstrate market validation and growth potential.
Presenting a Strong Team
Ensure that you present a well-rounded team with expertise in both AR/VR technology and business development. A capable team is essential for executing your vision and achieving success.
We found 84 VC firms investing in AR/VR on Angels Partners
Madrona Venture Group
Investing in Software (Web Marketplace Saas..) &b...
• MessageYes (formerly ReplyYes):
$6500000 (Series A)
• Boomerang Commerce:
$12000000 (Series B)
• Lumo Bodytech:
$10000000 (Series B)
• Lumo Bodytech:
$5000000 (Series A)
• Placed:
$10000000 (Series B)
• Placed:
(Seed Round)
• Placed:
(Seed Round)
• Evocalize:
$3000000 (Seed Round)
• Redfin:
$50000000 (Series F)
• Redfin:
$14800000 (Series E)
• Redfin:
$10000000 (Series D)
• Redfin:
$12000000 (Series C)
• Redfin:
$8000000 (Series B)
• Lexion:
$4200000 (Seed Round)
• Highspot:
$60000000 (Series D)
• Eclypsium:
$8800000 (Series A)
• Echodyne:
$29000000 (Series B)
• Echodyne:
$15000000 (Series A)
• Rigado:
$15000000 (Series A)
• OPAL:
$12500000 (Series B)
• OPAL:
$15500000 (Series B)
• OPAL:
$8000000 (Series A)
• Finsphere:
$12300000 (Venture Round)
• Finsphere:
$9000000 (Series B)
• Wetpaint:
$25000000 (Series C)
• Wetpaint:
$9500000 (Series B)
• Wetpaint:
$5300000 (Series A)
• Tesorio:
$10000000 (Series A)
• The Riveter:
$16300000 (Series A)
• The Riveter:
$4800000 (Venture Round)
• The Riveter:
$5500000 (Venture Round)
• Algorithmia:
$2400000 (Seed Round)
• FLEXE:
$80000000 (Later stage VC)
• Amperity:
$28000000 (Later stage VC)
• Heptio:
$25000000 (Later stage VC)
• Igneous Systems:
$15000000 (Later stage VC)
• Pixvana, Inc.:
$14000000 (Early stage VC)
• Versive:
$12700000 (Later stage VC)
• Tigera:
$10000000 (Later stage VC)
• TraceMe:
$9000000 (Early stage VC)
• Trade Coffee:
$9000000 (Early stage VC)
• Bizible:
$8100000 (Later stage VC)
• LumaTax:
$3000000 (Later stage VC)
• IOpipe:
$2500000 (Seed Round)
• Pulse Labs:
$2500000 (Seed Round)
• Integris Software:
$1500000 (Later stage VC)
• Snowflake:
• Give InKind:
• Give InKind:
Madrona Venture Group
Seattle (WA), U.S.A.
Investing In
Software (Web Marketplace Saas..) • IT (& TMT) • Hospitality (& Events) • Media • BioTech • Businesses Solutions • Retail (& E-Commerce) • Sales (& Marketing) • A.I. (& Big Data) • HealthTech (& Fitness) • Web Security (& Privacy) • Gaming (& eSports) • AR/VR • Insurance (& InsurTech) • Material Science • Medical Devices (& Hospital Services) • Payments • Real Estate (& Construction) • SaaS • Investment Management • Mobile
Description
Founded in 1995, Madrona Venture Group seeks to build the next generation of leading technology companies in the Pacific Northwest. The Group has more than $950 million under management, funded by large endowments, foundations, government entities, strategic corporations, and high net-worth individuals. Madrona seeks out early-stage technology-driven companies that solve customer problems in innovative, groundbreaking ways in the areas of Consumer Internet, Commercial Software and Services, Digital Media and Advertising, Networking and Infrastructure, and Wireless. The firm has a long-term approach and works closely with portfolio companies as they move from product development to early customers and revenue traction, and then to profitability and liquidity.
Square Peg Capital Pty Ltd.
Investing in Software (Web Marketplace Saas..) &b...
Massachusetts, United States
Previous Investments
• ClimaCell Inc.:
(early stage)
• LifeBEAM:
(mid stage)
• Ready4:
(mid stage)
• Square Peg Capital:
(mid stage)
• Internet of Things, Digital Health, Social Apps:
Software (Web Marketplace Saas..) • Other • IT (& TMT) • Hardware (& Manufacturing) • Retail (& E-Commerce) • Sales (& Marketing) • IoT (& Wearables) • AR/VR • Mobile
Description
Sigma Gestion is an independent investment firm based in Paris, France. The firm makes start-up and early-stage investments in the companies operating in the information technology, internet, services, specialized distribution, industry, software, electronics, energy, telecommunications, sustainable development and renewable energy sectors. The firm was founded in 1993 and is based in Paris, France.
IT (& TMT) • A.I. (& Big Data) • AR/VR • Robotics • Real Estate (& Construction)
Description
CAZ Investments is a wealth management firm and multi-family office that offers both traditional and alternative investment products to institutional investors and net-worth families. The firm also provides private equity investments to the healthcare sector. It is based in Houston, Texas.
Aditya Birla Capital is a private equity firm that provides growth capital to mature sectors and businesses. It provides financial advisory and management services with a focus on managing venture capital funds and alternative investment funds. It invests in the lifestyle, life skills and education, life care and applied technologies.
Keyhaven Capital Partners is a private equity firm that invests in small capital companies based in Europe and United Kingdom. The firm invests in the health care, manufacturing and financial services sector. It was founded in 2003 and is based in London, United Kingdom.
Software (Web Marketplace Saas..) • PropTech • Other • IT (& TMT) • Hospitality (& Events) • Media • Education • BioTech • AgroTech • Businesses Solutions • FinTech (& Financials services) • Hardware (& Manufacturing) • Energy • Retail (& E-Commerce) • Sales (& Marketing) • Cosmetics (& Fashion) • Entertainment (& Sports) • IoT (& Wearables) • CleanTech • A.I. (& Big Data) • HealthTech (& Fitness) • Cannabis • Blockchain (& Cryptos) • Web Security (& Privacy) • Gaming (& eSports) • Advertising • Analytics • AR/VR • Autonomous vehicles (& Cars) • Cloud Services (& Infrastructure) • Developer tools • Future Of Work • Food & Beverage • GovTech • Human Resources • Impact • Insurance (& InsurTech) • Local commerce • Logistics (& Distribution) • Material Science • Medical Devices (& Hospital Services) • Messaging • Payments • Robotics • Mobile Apps • Aerospace (& Defense) • Real Estate (& Construction) • SaaS • Mobile • Online Social
Description
Alpha Venture Partners is a venture capital firm that invests in accelerating growth and expansion stage companies. In addition, the firm also serves as an advisor to Pritzker Group Venture Capital (PGVC) and other institutions and family offices. It primarily invests in the software and information technology sectors, including: e-commerce, mobile, social, business process outsourcing, information services and tech-enabled services. It was founded in 2014 and is based in New York, New York.
Software (Web Marketplace Saas..) • PropTech • Other • IT (& TMT) • Hospitality (& Events) • Media • Education • BioTech • AgroTech • Businesses Solutions • FinTech (& Financials services) • Hardware (& Manufacturing) • Energy • Retail (& E-Commerce) • Sales (& Marketing) • Cosmetics (& Fashion) • Entertainment (& Sports) • IoT (& Wearables) • CleanTech • A.I. (& Big Data) • HealthTech (& Fitness) • Cannabis • Blockchain (& Cryptos) • Web Security (& Privacy) • Gaming (& eSports) • Advertising • Analytics • AR/VR • Autonomous vehicles (& Cars) • Cloud Services (& Infrastructure) • Developer tools • Future Of Work • Food & Beverage • GovTech • Human Resources • Impact • Insurance (& InsurTech) • Local commerce • Logistics (& Distribution) • Material Science • Medical Devices (& Hospital Services) • Messaging • Payments • Robotics • Mobile Apps • Aerospace (& Defense) • Real Estate (& Construction) • SaaS • Life Science • Mobile
Description
Spring Mountain Capital is a private investment management firm that focuses on alternative asset investing. The firm invests in the technology-enabled and healthcare sectors.
BLH Venture Partners is a venture capital firm that invests in companies operating in the consumer, digital media, e-commerce, enterprise, infosec and SaaS sectors. The firm was founded in 2009 and is based in Atlanta, Georgia.
Zero2IPO Ventures
Investing in Software (Web Marketplace Saas..) &b...
Software (Web Marketplace Saas..) • Other • IT (& TMT) • Media • Retail (& E-Commerce) • CleanTech • HealthTech (& Fitness) • AR/VR • Medical Devices (& Hospital Services) • Investment Management
Description
Zero2IPO Ventures is the venture capital arm of Zero2IPO Group. The firm invests in the healthcare, security, e-commerce, oncology, life sciences, mobile, clean technology, automotive, media, retail, outsourcing, energy, education and information technology sectors. It is based in Beijing, China and was founded in 1999.
Blue Collective
Investing in Software (Web Marketplace Saas..) &b...
We invest in pre-Series A companies (Pre-Seed and Seed). We are NOT thesis-driven in the way most VCs are. Our strategy is to invest in great founders in the earliest days of building a company and to invest broadly across industry, category, theme, trend, etc. Great founders at early stage with big ideas - that's our thesis (if we had to write it out)
+84
