Microsoft was leading the world in AR; now it’s at risk of being left behind

Clickbait. There are far more business applications for headset AR in industry than smartphone AR. Smartphone AR is just a toy for the near future. Not to mention Microsoft's SLAM and therefore hologram stability is still the best in the business.

You could just as well ask if anyone wants through the camera AR that Apple and Google are pushing. Aside from Pokémon Go, which while successful was hardly a good example of AR tech, I haven't seen anything compelling done with through the camera AR. Snapchat filters are popular but not exactly a game changing application it seems to me.

My guess is that Microsoft's bet is less in AR in its own right, and more that the "phone" - a form factor that has changed once or twice a decade for the past 3 decades or so - is due for a form factor change. And they'd like to be ahead of the curve for once, rather than always catching up.

Unless Microsoft can somehow replace the smartphone with their headset. I personally would much rather use that.

2 different markets.

Break down the use cases:

1. 3D Design - no go for phone

2. immersive room - no go phone

3. games - phone yes(treasure hut, secret messages, 3d avatars, masks)

4. annotating 3d objects with notes - cool app

5. even spacial based apps would be kind awkward with a phone. hold my phone at the wall to watch a big screen TV.

6. gesture based manipulation with a phone?