Good post. I think their competitive advantage comes exactly from their ability to leverage industry relations. The alternative to what they are proposing would be to remain another small VR/AR design studio, of which there are hundreds, or to try to compete in a crowded space for software sales.
As you point out, the product (FrameS) is not too different from others. They know this, so they are targeting much larger integrations with clients/partners and are building custom solutions. Who else is actually doing this? In my research, most competitors either sell downloadable software, or specialise in niche fields.
Most customers would have no idea how to implement the technologies, hence the partnerships with Dell/HP to market complete hardware/software packages.
They have their own strategy, I have challenged it myself before, but I think the strategy is sound. There are no guarantees, and of course there is risk. The next six months will be critical.
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