All eyes are on Sony this week as the company is rumored to announce a virtual reality device for the PlayStation 4 tomorrow at the Game Developers Conference. But Microsoft might not be far behind with its own 3D virtual reality technology.
This technology is concurrently in development with a mysterious VR/AR project revealed in 2012 as "Fortazela," which is reportedly similar to Google Glass. The Wall Street Journal says that Microsoft's efforts in the virtual reality space represent an attempt to create a "suite of experiences unique to Microsoft's Xbox products."
In addition, the sources go on to explain that one iteration of Microsoft's new technology was focused on augmented reality--that is, a technology that can layer animation on top of imagery from the real-world. By comparison, virtual reality devices like Oculus Rift only displays CG (computer generated) images.
Sony is rumored to announce its own VR device for the PS4 tomorrow during a "future of gaming" panel. GameSpot will be in attendance and will have all the news as it happens.