Founding Stories: Sandbox VR | Summary and Q&A

TL;DR

Sandbox VR founders discuss their inspiration from Hollywood and their journey to building a successful VR company.

Key Insights

• ❓ The founders of Sandbox VR were inspired by the growth and network effects of Hollywood and wanted to create a similar model in the VR industry.
• 😀 They faced challenges in fundraising due to a lack of understanding and exposure to VR experiences among potential investors.
• 🉐 Sandbox VR's immersive social experiences have gained popularity and traction, with investors recognizing the potential of their technology and content.
• 🧡 The company is continuously working on improving the technology and expanding their content offerings to provide a wide range of experiences to their users.
• ❓ Sandbox VR's success and growth demonstrate the increasing interest and demand for virtual reality experiences in the market.
• 😤 The founders' willingness to invest their personal savings and the dedication of their team played an essential role in the company's early survival and success.
• 🥺 Sandbox VR's unique combination of elements from movies and games position them as a leading player in the evolving VR industry.

Transcript

hi this is Frank Chen welcome to the 1/16 z youtube channel in this episode which is part two of a two-part series that we created on sandbox VR what we're gonna do is talk to the entrepreneurs Steve Zhao and Sikhi Chen about the founding story of their company I've long been a fan of the NPR podcast how I built this with guy Roz and I've always se... Read More

Questions & Answers

Q: How were the founders of Sandbox VR inspired by the growth of Hollywood?

The founders saw the network effects that Hollywood created over time and wanted to replicate that in the VR industry.

Q: What were some of the challenges Sandbox VR faced in fundraising?

One of the main challenges was the lack of understanding and exposure to VR experiences among potential investors, as they couldn't try out the product themselves.

Q: How did Sandbox VR overcome the challenges in fundraising?

The company focused on getting investors to experience their product firsthand, which helped them understand the unique aspects of Sandbox VR's experiences.

Q: What types of experiences does Sandbox VR offer?

Sandbox VR currently offers immersive social experiences centered around shooter games, but they are also working on expanding their content offerings to include other genres and experiences.

Summary

This video is a discussion about the founding story of Sandbox VR, a virtual reality company. The conversation is led by Andrew Chen, a general partner at 16z, and he talks with the entrepreneurs Steve Zhao and Sikhi Chen about the inspiration behind their company and the challenges they faced during the fundraising process. They also discuss the future of virtual reality and the potential for new genres and storytelling techniques.

Questions & Answers

Q: How were the founders of Sandbox VR inspired by the way Hollywood grew up?

The founders were inspired by the growth of the motion picture industry. They saw parallels between the rise of Nickelodeon and the development of a studio system, leading to the Golden Age of Hollywood. They wanted to create a similar path for virtual reality, with a focus on integration and scale.

Q: What were some of the objections and risks that the founders faced during the fundraising process?

One of the challenges they faced was the disconnect between the investors' perception of virtual reality and what Sandbox VR actually offered. Without a store in Japan, for example, potential investors couldn't experience the product firsthand and had a limited understanding of its potential. Over time, they were able to overcome these objections by demonstrating the product's capabilities and generating interest through word of mouth.

Q: What is the experience like at a Sandbox VR location?

When visiting a Sandbox VR location, customers are greeted by staff who gear them up with markers and provide them with a computer, a headset, and a vest. The experience begins in a room that resembles a CGI motion capture studio, creating a sense of excitement and anticipation. Once the experience starts, customers are transported to a virtual world where they can interact with their friends and engage in various activities.

Q: How did the founders convince investors to support their company?

The founders had to go through a rigorous fundraising process, including pitching to investors in Asia and Silicon Valley. They faced initial skepticism and challenges due to the unique nature of their product. However, they were able to overcome these obstacles by allowing potential investors to try out the product and experience it firsthand. This helped to demonstrate the viability and potential of Sandbox VR.

Q: How did the founders manage to raise a seed round and overcome financial challenges?

The founders started the company with a half a million dollars and raised additional funds through seed rounds. They faced significant financial challenges and even considered shutting down the company at one point. However, one of the founders was willing to invest his own life savings to give the company another chance. This commitment and determination paid off, leading to the successful launch and growth of Sandbox VR.

Q: What are the future technological advancements needed to enhance the VR experience?

The founders believe there is more room for improvement in terms of immersive quality and social interaction. They aim to improve the expressiveness of VR by enhancing technologies related to tracking, body language, and non-verbal communication. This will allow for more realistic and immersive experiences, and enable users to interact with each other in more meaningful ways.

Q: What genres and types of experiences are Sandbox VR planning to offer?

In the near term, Sandbox VR plans to move away from using guns and introduce different props in their experiences. They see potential in a wide range of genres and want to cater to a diverse audience. They are exploring opportunities beyond shooters and envision creating narrative experiences, competitive eSports, dance experiences, and even training experiences.

Q: How does the combination of movies and games influence the content of Sandbox VR?

The founders believe that the combination of movies and games creates a new medium that hasn't existed before. While Sandbox VR's initial content focuses on gaming and shooting experiences, they also acknowledge the importance of storytelling and narrative aspects. They see their company as a unique blend of movies and games, and aim to create interactive experiences that offer both immersion and agency.

Q: How does Sandbox VR plan to expand in terms of location-based entertainment?

In the future, Sandbox VR envisions building larger retail spaces with no walls, where dozens or even hundreds of people can play at the same time. They want to create immersive environments that include immersive actors and offer a range of interactive experiences. The goal is to continue evolving their product, breaking down limitations, and exploring new possibilities in the VR industry.

Q: What inspired the founders to take risks and pursue their vision for Sandbox VR?

The founders were motivated by their passion for virtual reality and their belief in the potential of the technology. They were inspired to create a product that goes beyond what is currently available in the market and offers a unique and immersive experience for customers. Despite the challenges and doubts they faced, their determination and commitment drove them to push forward and make their vision a reality.

Takeaways

The founding story of Sandbox VR highlights the challenges and risks involved in starting a company and raising funds for a unique product. The combination of movies and games in Sandbox VR's content offers a new and evolving medium that has the potential to revolutionize storytelling and immersive experiences. The company's focus on social interaction and the future possibilities of location-based entertainment demonstrate their commitment to pushing the boundaries of virtual reality. Through their determination and the success of their product, the founders have proven that with passion and perseverance, it is possible to turn a creative vision into a thriving business.

Summary & Key Takeaways

• The founders of Sandbox VR were inspired by the growth of Hollywood and wanted to create a similar network effects model in the VR industry.

• They faced challenges in fundraising due to a lack of understanding and exposure to VR experiences, but were able to overcome them by allowing investors to try out their product.

• Sandbox VR offers immersive social experiences through their VR games, and they are continuously working on improving technology and expanding their content offerings.