VirtuSphere Update | Shark Tank Season 1

Ray Latypov and Jim Dimascio wanted to change virtual reality in a big way by creating full-body experiences. They saw that the military and police needed safe, realistic training environments, so they built a large, high-tech simulator. Let’s see if their company can secure a deal in our VirtuSphere update and pitch recap.

If you’re short on time, here’s a quick overview of what happened to VirtuSphere after Shark Tank.

Ray and Jim entered Shark Tank Season 1 to pitch Virtusphere, seeking $50,000 for 10% equity. Unfortunately, the sharks had concerns about their product, which led to the entrepreneurs leaving without a deal.

In terms of a VirtuSphere update, although the company never broke into the commercial space, it eventually found success in niche markets. They have grown to over $3 million in annual revenue.

Shark	Result
Barbara Corcoran	No offer
Kevin O’Leary	No offer
Kevin Harrington	No offer
Daymond John	No offer
Robert Herjavec	No offer

Shark Tank VirtuSphere Pitch

• Entrepreneurs: Ray Latypov and Jim Dimascio
• Business: Virtual reality program
• Ask: $1.5 million for 10% equity
• Result: No deal
• Shark: None

Ray and Jim introduced VirtuSphere, a groundbreaking virtual reality system, on Shark Tank.

They believed it could transform both gaming and high-risk training environments. 

They sought an investment to pursue opportunities at 59 U.S. military bases, refine their product, and expand its applications, especially in military training.

The VirtuSphere is a large, spherical enclosure designed to enhance virtual reality experiences. 

Users can physically move inside it while wearing a VR headset, which allows for a more immersive experience.

They can walk, run, or crawl within the virtual environment. 

The technology uses gyroscopes to track movements and a wireless head-mounted display to provide visuals without physical constraints.

Initially conceived for military and law enforcement training simulations, the VirtuSphere also has potential applications in the gaming industry and other sectors.

Kevin O’Leary was immediately interested and tested the VirtuSphere himself, describing the experience as incredible. Robert Herjavec was also intrigued.

However, the sharks were hesitant about the high costs. Each VirtuSphere costs about $14,000 to make and sells for around $35,000. 

The sharks didn’t see it appealing to commercial consumers anytime soon.

Kevin O’Leary left the negotiations because he didn’t think the business was going to be profitable.

Kevin Harrington saw potential liability issues and dropped out of the deal as well.

Barbara Corcoran couldn’t relate to the product and said it was too much of a risk to invest in. She’s out.

Daymond John declined to make an offer due to a lack of expertise and relevant contacts in the industry.

Robert Herjavec, despite his interest, felt it was too early in its development. He’s the final shark out.

Ultimately, Ray and Jim left without a deal. In our VirtuSphere update, we’ll find out where the company stands now.

Shark Tank VirtuSphere Update

Our research on the VirtuSphere update revealed that the company is still in business but has yet to enter the mainstream market.

Moreover, it found success in niche areas, selling its VR simulators to clients such as the U.S. Army medical center, a naval research base, and universities in the U.S., Germany, Russia, Switzerland, and the UK.

In August 2013, our VirtuSphere update found that they launched a Kickstarter campaign to raise $100,000 for a virtual reality headset called 360specs.

Unfortunately, the campaign fell short, raising less than 4% of its initial goal.

However, according to our VirtuSphere update, the company’s lifetime sales revenue is $3 million as of this writing.

It will be interesting to see what our next VirtuSphere update brings.

Would you like to learn about the other companies featured in Season 1, Episode 9? Follow the links below for our other company updates from the episode.

• Chill Soda Update
• Cornucopia Update
• Gayla Bentley Fashion Update

Before you go, check out our Shark Tank Season 1 page for more updates