Facebook to buy virtual reality goggles maker for $2 billion

[Bosonic]

Source: Reuters

Facebook Inc will acquire two-year-old Oculus VR Inc, a maker of virtual-reality glasses for gaming, for $2 billion (1 billion pounds), buying its way into the fast-growing wearable devices arena with its first-ever hardware deal.

The acquisition, which comes hot on the heels of its $19 billion deal for messaging service WhatsApp, marks a big bet by Facebook to anticipate the next shift in an evolving technology industry, at a time when consumers are increasingly abandoning their PCs for smartphones.

The world's largest social network was deemed late to recognize the shift to mobile devices and the company's revenue has only recently begun to recover from the late start.

Many in the industry believe that wearable devices could represent the next big platform shift. Google Inc has been testing Google Glass, a stamp sized electronic screen mounted to a pair of eyeglasses for several years. Last week, it introduced an effort to develop computerized wristwatches.

Read more: http://uk.reuters.com/article/2014/03/25/uk-facebook-acquisition-idUKBREA2O1X120140325

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[Auggie]

1. That looks ridiculous

[vdogg]

16. It's the devkit prototype.

Not the finished product. Finished product scheduled to be released end of this year or early next year. Wish FB hadn't bought them though. Certainly dampened my enthusiasm.

[LanternWaste]

42. I thought the same of first generation mice...

I thought the same of first generation mice... however, we may certainly rest assured that trendy format eventually catches up to function.

[BeyondGeography]

2. That looks like it'll catch on

Actually, the earpiece/human voice interaction thingy in the movie "Her" was a pretty convincing view of the future. Not sure about glasses.

[Auggie]

10. The porn industry will love it

[phleshdef]

18. Those of us who are gamers have been following this product since it hit kickstarter.

And yes not only will it catch on, it already has. Major game developers already began creating support for it during its kickstarter phase. People are already playing games with the developers version of the product. Sony has already began working on a competing device.

[Hassin Bin Sober]

22. It will be great for flight sim

[phleshdef]

23. Its already great for a lot of existing games.

Do some youtube searches. Developers already have it working with big titles like Skyrim. It does real time head tracking. You move your head in real life, your head moves in the game.

[Hassin Bin Sober]

24. Are there wearable sets out now?

I've seen the "track ir" system for fsx but I think that tracks (eye?) movement and just pans the view on the screen.

I've been playing with the out-of-the-box Microsoft flight simulator lately. I haven't paid for any upgrades or anything like that but some of the upgrades do look fun.

[phleshdef]

27. You could buy the Oculus "Developers" headset by contributing to the kickstarter.

I think that's all over now though.

[Hassin Bin Sober]

29. I am through being an early adopter with phones and TVs and other technology.

Somebody finally did me a favor and stole my thousand dollar GPS system I had sliding around on my dashboard for years.

It looks like fun but I'm going to wait until the prices come down LOL

[phleshdef]

30. Yea, it needs to be affordable and well reviewed before I buy anything.

But I'm definitely buying something, lol.

[seabeckind]

3. Always considered facebook to be a virtual reality

Now they'll have the goggles to go with it.

[onehandle]

4. I'm wearing those right now.

Not really.

[lovemydog]

5. Real reality is enough for me

[Spitfire of ATJ]

6. Watch the technology go the way of the Betamax.....

BTW: Why is it the models for these things look like the types that fed in dollars for a panel to slide open?

[phleshdef]

19. Major game developers have already began working to support this product.

This thing has been the biggest buzz in the gaming community for well over a year now. Its not going "the way of the Betamax". Its the future of gaming.

[Spitfire of ATJ]

20. People don't like wearing crap like this....

I think the future of gaming is in a projection.

Think: Holodeck.

[phleshdef]

21. Thats a basesless assumption.

Have you watched videos of this thing in action where people have been trying it out for the first time? I have. Everyone that tries it seems to want one.

Are you a gamer that's been wanting a 3d virtual reality headset with a large resolution and real time head tracking for decades? I am.

We are a long, long ways away from hologram gaming. This will be the bridge. Sony is already working on a competitive product. Are you trying to tell me you have a better feel for what gamers want than Sony? Facebook is spending billions to get in on it. These big companies wouldn't be jumping in if there wasn't something to it. The kickstarter campaign raised 75 million dollars way before this FB deal. Obviously, that should tell you something.

[Spitfire of ATJ]

31. They need to make it like a feather....

The first time I wore one of these was over 20 years ago back when Dactyl Nightmare was at the arcades.

[phleshdef]

33. The most recent prototype weighs less than a pound.

Its about 13.4 ounces.

This is much more advanced than anything you've tried at an arcade. That's why its a big deal. Its a VR headset that actually works with 3d, a high resolution, real time head tracking and a consumer affordable cost... and yes, it weighs much less than any of the novelty VR technologies of the past. That's what makes it different. Its not a novelty.

[Spitfire of ATJ]

34. What would be funny though is if the actual tech they bought doesn't become the standard....

Like I said, it could become the Betamax version.

[phleshdef]

36. Honestly, these products should be like computer monitors and HD tvs.

They all should pretty much follow the same baseline standard for the way they function and have their own proprietary features on top of that. So, that way, developers shouldn't have to go to a lot of lengths to support the various companies' products. I figure that's the way its gonna go.

[Spitfire of ATJ]

38. Facebook is banking 2 billion that THIS is to be the standard.

[phleshdef]

40. Yea but thats not a far fetched bet if you understand the technology's nature.

Stereo 3d will be standard for every device, no matter who makes it.

1080p or higher resolution will likely be the standard, no matter who makes it (resolution is kind've irrelevant considering monitors and HDTVs already exist supporting different resolutions, and games, consoles and PCs already work under the assumption of supporting different resolutions).

Usage of HDMI and USB cables are already standard interfaces for display devices and external devices. So no issues there.

The only thing I can see having variation between the products would be the quality of the head tracking. That's where the competition is going to be, to see who can make the head tracking work the smoothest. But even then, as far as video game development goes, head tracking is the same as "looking with your mouse" or "looking with a joystick". So theres no big secret as to how head tracking fundamentally works. The real challenge is interpreting the head tracking data and sending the responsive images back to the device fast enough that it doesn't cause motion blur (which in this case could actually make you feel like throwing up).

Those are pretty much all the areas that a device like this is concerned with though. Again, its kinda like, Facebook decides they are going to start manufacturing TVs, you really think it would be all that different than other TVs as far as what it will work with? Probably not.

[Spitfire of ATJ]

41. For all we know polygon mapping could become obsolete.

[Hassin Bin Sober]

28. I know a world of Warcraft addict I could TOTALY see wearing this during his "raids"...,

.... and conference hookups they do. I think the guy spent 4 grand on his computer.

[Spitfire of ATJ]

32. I've seen people spend a fortune for racing games.

[LanternWaste]

43. Unlike Bluetooth ear-buds, and wrap-around voice-mics?

"People don't like wearing crap like this..."

Unlike Bluetooth ear-buds, and wrap-around voice-mics?

[Spitfire of ATJ]

46. Add some suspenders and you have a yuppie asshole costume.

[Hosnon]

25. Well, they were. I've seen at least one major developer (Minecraft) pull out because of this.

And reddit is swarming with developers who are jumping ship.

[phleshdef]

26. That won't last long. Its just knee jerk bullshit.

The fact of the matter is, all of these VR headset products... the Oculus, the one that Sony is working one, should mostly function like computer monitors or television sets... in that, you hook them in, they all have a baseline standard way that they work and any game that supports a VR headset should work with all of them. I'm sure there will be competing approaches at first, but it will settle down to one standard and it really won't matter which product developers prefer.

[Hosnon]

35. Perhaps, perhaps not. It's not like there won't be competing devices soon.

For Oculus' sake, they better get it to market fast so they can get as much market share as possible (to leverage).

[phleshdef]

37. Yea, I believe thats why this partnership is good for them.

They are like, 5 guys, who are going to end up trying to compete with Sony, on kickstarter money.

[Hosnon]

48. They are WAY beyond Kickstarter money.

They procured something like $90 million from venture capitalists prior to this deal

[phleshdef]

49. Sony CEOs spend that much on hookers and blow in a year.

I'm joking, but probably not far from the truth.

[Newsjock]

7. All the rubes who funded their Kickstarter

Taken for a ride.

[Ash_F]

8. Creator of Minecraft weighs in: "Facebook creeps me out"

https://twitter.com/notch/status/448586381565390848

"We were in talks about maybe bringing a version of Minecraft to Oculus. I just cancelled that deal. Facebook creeps me out."

[They_Live]

17. I suddenly appreciate Minecraft even more

Facebook creeps me out as well.

[al_liberal]

9. Combine this with their last purchase.

And one can only surmise that the newest tech bubble is about to burst.

19 billion here, 2 billion there, who cares? It's all funny money anyway.

Just like counterfeit money, the only person that is going to lose out is the last one that holds the bill.

[LanternWaste]

44. How precisely does two investment made by one company necessarily lead to a tech-bubble burst?

How precisely does two investment made by one company necessarily lead to a tech-bubble burst?

[al_liberal]

45. Overpayment perhaps?

Or did you miss the King Digital IPO today?

And I believe you meant "two investmentS"

[arcane1]

11. I still can't comprehend getting rid of my desktop, especially for a phone.

I suppose it all depends on what purposes one's technology serves.

[davidpdx]

12. When is the next tech bubble burst?

These companies have been buying up smaller firms like the arms race during the cold war.

[penultimate]

13. Ohhhhh like this?

[Adrahil]

14. Oculus Rift is the real deal

The Rift is intended for PC gaming, and it works remarkably well.

[Politicalboi]

15. Watch Brainstorm

[Retrograde]

39. VR Goggles? How 90s!

Will there be gloves to go with them as well?

[sofa king]

47. "Facebook executive John Carmack"

That's right, lovers of Doom, Quake, and Wolfenstein.

John Carmack left id Software only last year to become CTO of Oculus.

That same year he also wound down the operations of Armadillo Aerospace.

So today, Carmack the Magician is no longer the greatest game engine designer, no longer a rocketeer. Today, he is simply another Facebook executive.

How in the hell did this happen?