Samsung and Microsoft are said to be working on a new wireless AR/VR headset. REUTERS/Fabrizio Bensch

Samsung’s Gear VR headset may already be successful, but the company wants to further expand its reach when it comes to virtual reality. A new report claims Samsung is working alongside Microsoft to create a new headset that would support both virtual and augmented reality experiences.

Samsung already partnered with Microsoft last year with the Odyssey Windows Mixed Reality headset, but the company’s new project is said to be an entirely new product, according to The Korea Times. “Samsung electronics is working on developing cordless and high-prices headsets supporting both VR and AR,” a Samsung official said. The Samsung Odyssey is a wired headset that requires to be plugged into a laptop or a powerful gaming PC.

Samsung’s wireless AR/VR headset will be powered by the company’s own processors, OLED displays and sensors. With Microsoft’s involvement in the new project, the upcoming device is expected to run the company's Mixed Reality platform. The Samsung official also claimed that Microsoft has lowered its royalties in order to take a “multi-pronged” approach when it comes to enriching its ecosystem of games and apps to entice users.

Another Samsung official said that Samsung wants Microsoft to use its processors for the latter's Windows Mixed Reality and Windows Mixed Reality Ultra headsets, according to SamMobile. It’s possible that Microsoft will do just that since Samsung is already becoming a dominant player in the chip-making business.

No other information on the specs of Samsung’s new AR/VR headset were given, but it might make its debut during the IFA Berlin tradeshow in August. If that turns out to be true, then Samsung would be ahead of its biggest rival, Apple. The iPhone maker is also believed to be working on its own AR/VR headset, but it is not expected arrive until 2020, as pointed out by Engadget.