The first references to the concept of virtual reality came from science fiction. Stanley G. Weinbaum's 1935 short story "Pygmalion's Spectacles" describes a goggle-based virtual reality system with holographic recording of fictional experiences, including smell and touch.
Morton Heilig wrote in the 1950s of an "Experience Theatre" that could encompass all the senses in an effective manner, thus drawing the viewer into the onscreen activity. He built a prototype of his vision dubbed the Sensorama in 1962, along with five short films to be displayed in it while engaging multiple senses (sight, sound, smell, and touch).
Predating digital computing, the Sensorama was a mechanical device. Around the same time, Douglas Engelbart used computer screens as both input and output devices. In 1968, Ivan Sutherland, with the help of his student Bob Sproull, created what is widely considered to be the first virtual reality and augmented reality (AR) head-mounted display (HMD) system.