AI & Emerging Tech

Mixed Reality

Mixed reality, or MR, blends the digital and physical worlds so that virtual objects can interact with real ones.

Unlike augmented reality where digital images simply float on top of your view, mixed reality makes virtual objects behave as though they are really in your room — a virtual ball could roll off your real table and fall to the floor. MR typically requires a special headset that can see and understand your physical environment in detail.

Mixed Reality, explained at three levels

At home

Mixed reality is like augmented reality's more advanced sibling. While AR puts flat digital images on top of what you see, MR makes digital objects act like they belong in your real space. A virtual pet in MR could walk around your actual living room, go behind your real couch, and sit on your real chair. The digital objects understand and interact with your physical environment, which makes the experience feel much more natural and convincing.

At work

In the workplace, mixed reality enables collaboration and visualization that goes beyond what screens can offer. Engineers can project a full-size holographic model of a machine and walk around it with colleagues to discuss design changes. Surgeons can view patient scan data as a 3D hologram during planning sessions. Remote experts can see what a field technician sees and draw holographic annotations in their physical space to guide repairs. MR bridges the gap between digital information and physical work.

Real-world examples

At home

Mia uses a mixed reality headset to help redesign her home office. She places virtual desks, shelves, and monitors around her real room and can see exactly how they fit. When she puts a virtual shelf too close to her real window, the system flags the conflict. She rearranges everything in MR before buying a single piece of furniture.

At work

Sara is an aerospace engineer who uses mixed reality to inspect a virtual engine model overlaid on a physical engine mount. She walks around the life-size holographic engine, reaches in to highlight specific components, and discusses modifications with a colleague in another city who sees the same hologram in their own space.

How it compares

FeatureAugmented Reality (AR)Virtual Reality (VR)Mixed Reality (MR)
Real world visibilityFully visible through camera or lensBlocked by headsetFully visible through passthrough
Digital interaction with real worldDigital overlays float on topNo real-world interactionDigital objects interact with real surfaces
ExampleSeeing directions overlaid on a streetExploring a virtual planetA virtual character sitting on your real chair
Typical hardwarePhone or lightweight glassesEnclosed headsetAdvanced headset with depth sensors
ComplexityLower — simpler to develop and useMedium — requires VR contentHigher — needs environmental understanding

Mixed reality combines the best of AR and VR by letting virtual objects interact convincingly with the real world. It offers the most immersive blended experience but requires more advanced hardware than AR and more environmental awareness than VR.

For analysts

Mixed reality is the most immersive way to blend digital information with the physical world, but it is also the most expensive to implement. Before investing, ask whether your use case truly needs virtual objects to interact with real ones, or if simpler AR on a phone would suffice. The best candidates for MR are spatial tasks — design reviews, complex assembly instructions, and remote expert guidance — where seeing things in 3D context provides a genuine advantage.

History & origin

The term mixed reality was first introduced by researchers Paul Milgram and Fumio Kishino in 1994 to describe the spectrum between fully real and fully virtual environments. Microsoft brought the concept to mainstream awareness with the HoloLens headset in 2016, which could project interactive holograms into real-world spaces. Apple's Vision Pro, announced in 2023, further advanced the category by offering high-fidelity passthrough combined with spatial computing capabilities.