Nreal ARG Gets A Total of $200 Million in Funding
Specializing in augmented reality, Nreal , a Chinese startup, recently successfully raised $200 million in funding in a Series C funding round. This funding will help propel Neal in the realization of its project. It’s about making augmented reality accessible to the general public. To do this, the company plans to produce relatively light smart glasses. Products that should attract attention with bright colors. In total, Nreal has received an investment of $200 million over the past 12 months. Incidentally, it should be noted that it was Alibaba, the Chinese e-commerce giant, which led the latest financing.
Tech giants invest cautiously
Alibaba has long been a more involved corporate investor than rival Tencent. Nevertheless, the latter remains more active than him. Thanks to its investments in startups, this tech giant has cultivated quite a reputation. Note that these could complete its gigantic retail ecosystem. Moreover, the Chinese giant is one of those who invest the most in these startups.
However, Alibaba’s participation in Nreal ‘s advance this time around is purely financial. In concrete terms, the two companies had the opportunity to forge strategic links. An opportunity that Alibaba did not seize despite its reputation. Still, had they seized on it, Alibaba could have notably integrated Nreal into its gaming and video streaming units. Among other things, the second could also have designed smart glasses for the millions of meal deliverers of the first. In addition, the latter began, not so long ago, to use voice-activated headsets.
Why have these two entities not created such synergies? The most likely reason is that tech giants in China, including Alibaba, have become more vigilant. They avoid any funding that may encourage unfair competition or lead to misunderstanding. For good reason, the country’s antitrust measures are putting pressure on tech companies .
Nreal will make an incursion into China
In its early days, Nreal opted for a rather particular strategy. Although based in China, the company decided to target overseas consumers first. It has entered the market of six foreign countries like the United States and Japan. To this end, it has developed partnerships with local operators to promote its products. Verizon, for example, is helping Nreal sell its mixed reality glasses dubbed Nreal Light in the United States. These devices have a relatively affordable price and are compatible with Android devices. which have 5G technology. This means that Nreal has not yet developed at the national level (China).
A presentation of glasses called Nreal Light.
However, the startup has just decided that it will introduce its devices to the Chinese market this year. An initiative that is notably possible thanks to the 60 million dollars of funds. Aside from this project, the money will likewise be used in R&D and the growth of Nreal’s content and application ecosystem. It is the development of this ecosystem is essential for consumers to fully adopt its devices.