Once relegated to the children’s market, virtual characters are entering the mainstream in China. Fictional as these digitally rendered avatars may be, they hold real jobs, from pop star to influencer, to even news anchor. And they’re becoming increasingly interactive and humanlike, thanks to improvements in technologies such as AI, motion capture, and virtual reality (VR). Recent advancements in augmented reality (AR), in particular, have enabled virtual avatars to step out of social media and make live appearances alongside flesh-and-blood celebrities.
“Recently, commercial interest in virtual influencers has increased, which can largely be explained by the industry’s newfound willingness to experiment with creating ‘phy-gital’ brand experiences, in order to reach the consumer through innovative ways, especially in today’s context [of the pandemic],” said Kim Leitzes, managing director of Asia-Pacific at performance measurement company Launchmetrics.
Virtual pop idol Luo Tianyi is a case in point: In recent years, she has performed with human entertainers for the state television network’s annual Spring Festival Gala—the most watched TV event in the country. Many saw these appearances as the government’s tacit endorsement of mixed reality (XR). In fact, in its latest five-year plan, released earlier this month, the government named XR one of China’s seven core digital industries.
China dominates in terms of AR and VR investments. According to the International Data Corporation (IDC), China accounted for 54.7% of commercial and consumer spending on AR and VR worldwide in 2020. IDC projects that share will rise to 56.0% this year.