Atari Jaguar
A virtual reality headset compatible with the console, tentatively titled the Jaguar VR, was unveiled by Atari at the 1995 Winter Consumer Electronics Show. The development of the peripheral was a response to Nintendo's virtual reality console, the Virtual Boy, which had been announced the previous year. The headset was developed in cooperation with Virtuality, who had previously created many virtual reality arcade systems, and was already developing a similar headset for practical purposes, named Project Elysium, for IBM. The peripheral was targeted for a commercial release before Christmas 1995. However, the deal with Virtuality was abandoned in October 1995. After Atari's merger with JTS in 1996, all prototypes of the headset were allegedly destroyed. However, two working units, one low-resolution prototype with red and grey-colored graphics and one high-resolution prototype with blue and grey-colored graphics, have since been recovered, and are regularly showcased at retrogaming-themed conventions and festivals. Only one game was developed for the Jaguar VR prototype: a 3D-rendered version of the 1980 arcade game "Missile Command", entitled "Missile Command 3D", though a demo of Virtuality's "Zone Hunter" was also created for Jaguar VR demonstrations.
Liquid Image
In 1997 the MRG6 monocular system, priced at $3495, was launched to focus on the wearable computing market. Development of personal wearable systems like those demonstrated by Dr. Steve Mann had demonstrated that practical systems could be developed. The MRG6 was one of the first commercially available wearable computing displays that has since taken over 16 years to finally move to the multiple examples of sunglass-sized devices including the Google Glass. The next monocle, the award-winning M1, was released in the fall of 1997.
By 1997 the demand for VR game systems had almost stopped and the company had not shifted sufficiently to sustainable revenue from sales of wearable computing devices. The original company was sold and was rebranded "TekGear" becoming mostly a reseller of other virtual reality and wearable computing technology. Both David Collette and Shannon O'Brien had left Liquid Image prior to the transition to "TekGear" while Tony Havelka continued to manage and grow TekGear.
A 1997 book, "Training's Future?: Perspectives on Virtual Reality and Related Emerging Technologies (Defense Research Series)" by Robert Siedel describes the system developed by the Royal Canadian Navy to train naval officers on how to be the officer on watch for ships at sea.