Los Angeles Times

In virtual reality, a start-up frenzy

- By Paresh Dave

Why did Alex Rosenfeld move across the country to start a company in a tiny office in Santa Monica? What prompted Masaharu Ono and Timothy Chou to launch their own start-up while freshmen at Caltech? What moved Hollywood filmmaker Christophe­r Emerson to make an app? Virtual reality. They all want a piece of the next big leap for entertainm­ent.

Just as smartphone­s and tablets have cut into television viewing, virtual reality is poised to put movies, games and apps on perspectiv­e-altering screens inches away from the eyes. The real world will disappear as viewers become part of the show, immersing themselves in a digital universe.

Hollywood is making a big push, with 20th Century Fox and NBC at the forefront. They’re already wowing audiences at trade shows and special events. That excitement is energizing start-ups that first got a big boost a year ago when Facebook agreed to pay $2 billion for Oculus, an Irvine start-up.

The public will get its first chance to take the experience home when goggles from the likes of Oculus VR, HTC and Sony start hitting the stores this fall. Gamers and early tech adopters are expected to be at the front of the line.

By 2018, consumers will spend $5 billion on virtual reality technology, consulting company Kzero pre-

dicted last year. Half the haul is expected to go tosoftware makers. More recent forecasts from Digi-Capital and Gartner anticipate more users sooner— 25 million by 2018— putting overall spending as high as $10 billion.

With all the attention in Hollywood, Los Angeles is a natural spot for virtual reality entreprene­urs.

Rosenfeld, who migrated from Boston, said Los Angeles is “the center of gravity.”

In March, 65 virtual reality start-ups showed their wares to 2,000 attendees at a conference in downtown Los Angeles.

Virtual reality “used to be our secret that no one knew was going to be important,” said Cosmo Scharf, an event organizer and co-founder of Visionary VR, which creates virtual reality video. “Just in this last year alone, we’ve witnessed firsthand a transforma­tion.”

Last week, GoPro added to the buzz when it announced a partnershi­p with Google to introduce a 360degree, 16-camera virtual reality rig. That’s a first step toward turning everyone into a virtual reality filmmaker. GoPro popularize­d action-sports video — and could be a player in bringing 360-degree filming and virtual reality to a mass audience.

Virtual reality isn’t just about goggles and cameras. Many developers are racing to create apps, gambling that they’re going to find ways to turn a profit when virtual reality goes mainstream. Here’s a look at four Los Angeles start-ups chasing the dream:

Vrideo

Competing with YouTube

Rosenfeld, previously a researcher at a venture capital firm, and business partner Kuangwei Hwang have raised $1.8 million from investors to become the YouTube for “immersive video.”

Using a 360-degree video camera, with multiple lenses to capture all angles all at once, people can record impressive video. Then they upload it on Vrideo. But viewers don’t have to passively watch; they can click and drag, tap on the keyboard or rotate the screen to swirl through different vantage points.

In one video, two skiers parachute off a cliff at Crystal Mountain in Washington. As they fly over tree-lined slopes, viewers can twist the video back and forth horizontal­ly and vertically to switch between the jumpers and the mountain expanse. The videos can be watched on a screen, but an Oculus headset can be connected to a computer to get deeper into the action, where head moves adjust the perspectiv­e.

YouTube recently released similar navigation controls, but Rosenfeld says Vrideo’s focus on just 360degree videos will keep it a step ahead.

SpherePlay

Empathizin­g through photos

SpherePlay’s app will help share 360-degree photograph­s. Most smartphone­s can already shoot full-scene photos because all it takes is an app such as Google Camera and the patience to slowly pan the lens in every direction. Right now, there aren’t many apps to help viewers appreciate the immersive photos. Emerson, SpherePlay’s chief executive, says his focus on the “everyman and -woman demographi­c” will change that.

The start-up’s mobile website displays photos that he took last year using his Samsung Note smartphone. In one example, viewers swipe their own smartphone screens to drift within a single photo from gray sky to the dirt at the edge of a cliff to waves surfacing on a Brazilian beach out yonder.

“If we share a photo with someone, we are trying to convey some emotion to them, but it doesn’t engage our senses,” said Emerson, who owns a Hollywood production company. He’s betting that 360-degree photos — when viewed in virtual reality devices — will trigger new sensations. Because the image surrounds you, it’s easier to imagine being at the scene. The thought of a wind gust could cause shivers, or the fright of looking over a steep ridge could force the viewer to step back into the realworld.

Neurorigin

Living in Utopia

Ono, 19, and Chou, 18, decided to create a parallel, Utopian universe after meeting at Caltech’s freshmanor­ientation and signing up for the same graduatele­vel computer science courses. They cobbled together savings to form Neurorigin and to buy an EEG machine, which measures brain activity, in hopes of developing software that would translate thought into actions in a virtual world.

Wish to play basketball as well as Kobe Bryant?

“If you don’t have the athleticis­m, you can’t,” Ono said. “But if you can think like him, you can play like him in our system.”

They’ve applied to programs that offer technical and financial support. But for now, Ono is funding the endeavor by coding unrelated programs for a professor while they write the algorithms for Neurorigin.

Applied VR

Building for businesses

Consumers aren’t the only focus. Applied VR in Century City is building apps for hospitals, law enforcemen­t agencies and major corporatio­ns. The company wants to develop programs that encourage people to form good habits. Its argument is that if video games can lead to negative behavior, then being immersed in a virtual world can rewire thinking toward good choices, said Josh Sackman, Applied VR’s vice president.

A bank’s app shows customers how saving more money affects their future look and lifestyle. An app being tested with Cedars-Sinai Medical Center could help people deal with pain, reducing the need for painkiller­s. Traveler’s Insurance commission­ed an app for its clients to use during safety training. If employees relate to an immersive experience more than a traditiona­l safety video, as tests suggest they do, workplace injuries and subsequent insurance payouts could tick down.

 ?? Katie Falkenberg Los Angeles Times ?? ADVERTISIN­G EXECUTIVES, including Pat Laughlin with Laughlin Constable, center, try out virtual reality headsets.
Katie Falkenberg Los Angeles Times ADVERTISIN­G EXECUTIVES, including Pat Laughlin with Laughlin Constable, center, try out virtual reality headsets.
 ?? Lawrence K. Ho Los Angeles Times ?? VRIDEO CO-FOUNDERS Alex Rosenfeld, left, and Kuangwei Hwang have raised $1.8million from investors to become the YouTube for “immersive video.”
Lawrence K. Ho Los Angeles Times VRIDEO CO-FOUNDERS Alex Rosenfeld, left, and Kuangwei Hwang have raised $1.8million from investors to become the YouTube for “immersive video.”

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