JD.com to Use VR Technology on Its Platform to Keep Up with Rival Alibaba

A child plays a game using a VR device in a mall in China, the next battleground for VR markets. (Photo : Getty Images)

JD.com is planning to make use of virtual reality (VR) technology on its online shopping platform to keep up with rival Alibaba Group Holding Ltd, China Daily reported.



The company made the announcement on Tuesday, Sept. 6, saying that it plans to build a virtual reality and augmented reality-enabled online shopping experience that brick-and-mortar stores cannot match.




"We don't want to miss the future development of VR and AR technologies. They could provide better shopping experiences and bring convenience to our lives. At the same time, innovative technologies can drive the development of JD's future business," Long Yu, chief human resources officer at JD.com, said.



The company said that it will also launch the AR home decoration product with the help of third parties. The AR shopping app will allow users to see virtual items in a real environment. It will also enable users to talk to designers to discuss the interior plans of their home.



But aside from AR, VR technologies are also being used by the company of 3C (computer, communications and consumer electronics), home appliances and other fields. With the use of a VR headset, users can pick a product and view it in 360 degrees.



Meanwhile, JD's rival Alibaba had announced in February that it invested in Magic Leap, a mixed reality startup based in the U.S. The company also established its own VR research lab, GnomeMagic Lab. During the Taobao Maker Festival in Shanghai last July, Alibaba presented a preview of its "Buy+" virtual store.



Based on a market analysis report jointly conducted by JD.com and international data group IDG, full-blown competition in the VR market is expected in the fourth quarter.



"With JD's key business lying in online shopping malls, VR and AR technologies will help improve the impact of commodity displays, and boost the company's business. As a representative of B2C platforms, JD's main users are people aged between 20 to 35 with medium to high incomes, who are aware of VR and AR technologies," Zhao Ziming, an analyst at Beijing-based internet consultancy Analysys, said.



But James Yan, research director at Counterpoint Technology Market Research, said that VR application in e-commerce may still take some time as people would have to get used to the practice of using VR technology to shop.



JD also announced on Tuesday, Sept. 6, that it will sell about 15 million VR headsets in the next three years in cooperation with domestic VR manufacturer Beijing Baofeng Mojing Technology Co Ltd.

