Amazon's Future Business: Hair Salons? ... Big Tech's 'Virtual Reality' Competition [Im Juhyung's Tech Talk]

Amazon Unveils Its Own Beauty Salon 'Amazon Salon'
Combining Virtual Reality (VR) Technology with the Beauty Industry
Intense Competition Among IT Giants in the VR Industry
Facebook's Oculus, MS's HoloLens, and More

The recently unveiled Amazon Salon by the US IT company Amazon. Using virtual reality (VR) technology displays, customers can preview their hairstyles in advance. / Photo by Amazon

[Asia Economy Reporter Lim Juhyung] Recently, the American IT company Amazon announced plans to open a barbershop in London, UK, drawing global attention. Although Amazon started as an e-commerce business, it has now become a tech giant with advanced industries such as cloud computing and video streaming. This has led to questions about why Amazon is venturing into the beauty business. However, the Amazon Barbershop is not just about cutting or coloring hair. Its purpose is to promote the advancement of the service industry by utilizing the latest augmented reality (VR) technology.

Amazon recently announced on its official company blog that it will open a two-story beauty salon called "Amazon Salon," measuring 140㎥ (approximately 42 pyeong), near its UK headquarters in London.

According to Amazon, the salon will offer the same services as traditional beauty salons. Customers can receive various beauty services such as haircuts and coloring from professional stylists within the salon. Initially, the salon will operate for about 5,000 employees of Amazon's UK headquarters and will open to the general public within a few weeks.

After the salon was revealed, media outlets in the US and UK extensively covered the news, trying to understand the intentions of Amazon, one of the world's largest IT companies, entering the beauty business. US broadcaster CNN mentioned that the beauty industry, including hair salons and nail art shops, suffered significant damage after the COVID-19 outbreak and pointed out that "Amazon Salon is aligned with the revival of the beauty industry." It is speculated that Amazon chose hair salons as a new "profitable business" anticipating a surge in demand for beauty services after lockdown measures.

Amazon Salon integrated advanced IT technology into the beauty industry. / Photo by Amazon

However, the Amazon Salon is expected to be more than just a simple beauty salon. Amazon plans to introduce various advanced technologies here to provide an entirely different experience from existing salons. In particular, the Amazon Salon emphasizes the active use of VR technology.

For example, all mirrors installed in the Amazon Salon are VR-supported displays. Customers can stand in front of the mirror and preview their hairstyle after receiving haircut or coloring services.

Regarding this, John Frey, manager of Amazon's UK headquarters, emphasized, "(Amazon Salon) will serve as a unique place for customers while also being a venue to collaborate with the (beauty) industry and test new technologies."

Recently, tech companies have been engaged in a silent competition to integrate VR technology more closely into real life. In the past, VR was limited to experimental smart glasses and some gaming devices in the form of VR goggles, but now it is beginning to be used in various industrial fields.

A VR press conference using Facebook Oculus Quest 2. / Photo by Facebook Korea

A representative example is Facebook's "Oculus Project." Facebook acquired the VR goggle developer Oculus in 2014 and has supported research projects for seven years. These efforts are now bearing fruit.

Facebook recently released the "Oculus Quest 2," a wireless VR device that can use a dedicated tool called "Spatial." Using Spatial, people wearing Oculus equipment can hold remote meetings in virtual spaces.

Users can take a photo of their face to create a VR avatar and experience conversations while viewing materials together in VR space, giving the sensation of being in the same physical space.

Meanwhile, VR technology is now also being used to assist soldiers in their duties. Microsoft announced on the 31st of last month (local time) that it signed a contract to supply its VR goggles, "HoloLens," to the US Army.

The VR device 'HoloLens' developed by the US IT company Microsoft / Photo by Microsoft

HoloLens is a small and lightweight headset goggle that assists human tasks by overlaying computer graphics on the lenses when worn. The HoloLens to be used by the US Army reportedly has functions such as displaying maps and compasses to soldiers and identifying people precisely in the dark through thermal imaging.

The reason tech companies focus on VR technology is its potential. After the spread of COVID-19, non-face-to-face video meetings and online store usage became the norm instead of offices or physical stores. Consequently, technology that can provide a perfect "sense of presence" without physical contact became necessary, and VR is considered the most suitable solution.

British public broadcaster BBC reported last month on the VR technology adoption boom among some UK companies and predicted that in the near future, VR displays and goggles could be routinely used in offices.

BBC quoted Joe Fitzsimons, policy advisor at the UK Institute of Directors, saying, "(VR technology) can spread very quickly," and "Because of its definite positive effects on work environments and workers, many organizations and companies will adopt it as soon as possible."