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Augmented reality (AR) and virtual reality (VR), collectively referred to as "extended reality" (XR), have begun to diffuse in industry. However, the current levels of awareness, perceived limitations, and use of AR and VR, as well as the potential differences on these aspects between these technologies are still not well known. Moreover, it is unknown whether small and medium-sized enterprises (SMEs) differ from large companies on these issues. This research employed a mixed methods research design to address this gap by carrying out a cross-sectional survey ( n  = 208) to gauge European industrial companies' level of AR and VR awareness and adoption, and by interviewing 45 companies in nine European countries in order to identify critical enabling factors in the adoption of XR for SMEs. Results show no statistical difference between the respondents' perceptions toward AR and VR or in their use levels. Thus, examining AR and VR under the umbrella term XR seems justified, especially in the context of their organizational use. However, larger companies were found to be using XR more than SMEs. Analysis of interviews based on the technology-organization-environment framework also yielded several enabling factors affecting XR adoption and specified whether they are particularly highlighted in the SME context. Overall, this paper contributes to XR research by providing a holistic multi-country overview that highlights key issues for managers aiming to invest in these technologies, as well as critical organizational perspectives to be considered by scholars.

Extended reality technologies in small and medium-sized European industrial companies: level of awareness, diffusion and enablers of adoption