Simulated reality refers to a scenario where a person perceives their environment as real, but it is actually a computer-generated simulation. This concept suggests that what we experience as reality could be an artificial construct, similar to a highly advanced version of virtual reality. The idea of simulated reality raises questions about consciousness and existence, often explored in philosophy and science fiction. Notable examples include the film The Matrix, which depicts a world where humans unknowingly live in a simulated environment, and discussions by thinkers like Nick Bostrom, who theorizes about the likelihood of living in a simulation.