Submitted by DJProfessorK 242d ago | opinion piece

How Oculus' Facebook Deal Will Kill Virtual Reality in Gaming

The news about virtual reality company Oculus, makers of the Oculus Rift, being bought up by Facebook for a whopping $2 billion yesterday has garnered some very important reactions across the video game industry. In a recent Polygon article, many developers seemed to be excited, but skeptical. That seems to be the solid general consensus across the board, but there is more to it than that. (Facebook, Industry, Oculus, Tech)

Hatsune-Miku  +   242d ago
Oculus isn't needed since morpheus will be the future of VR in gaming.
DoomeDx  +   242d ago
But isnt the Sony headset for PS4 only?
Majin-vegeta  +   242d ago
For now yes but it could come to other platforms.
Geekman  +   242d ago
@Majin Vegeta. The Playstation Brand symbol is ON the headset. How on EARTH would it come to other platforms?

What you doing, Geek?

Playing Sonys virtual reality headset on the Xbox One!

Good for you, Geekman. Good for.... wait a second.
Battlefieldlover  +   242d ago
@Geekman. My PS4 controller works with my PC games.... I think PS's Brand name is on it. Hang on... Yup, Sure is.
#1.1.3 (Edited 242d ago ) | Agree(19) | Disagree(2) | Report
Dante81  +   242d ago
The Logitech Driving Force GT has Gran Turismo and Playstation symbols yet it works perfectly with the PC.
AusRogo  +   242d ago
@geekman my playstation wireless headset has *the ps symbol on it.. but i can use it on computer.
#1.1.5 (Edited 242d ago ) | Agree(6) | Disagree(0) | Report
MasterCornholio  +   242d ago

Wow your not very smart if you believe that a simple symbol will prevent playstation devices from working with other platforms.
andrewsqual  +   242d ago
@MasterCornholio He, like so many other people our there, think that if that is the way Microsoft does it, then everybody else does it the same way or worse. Never better in every single way.
levian  +   242d ago
It would be foolish for them not to make it compatible with PC at the VERY least
marloc_x  +   242d ago
Perhaps sell Morpheus to Facebook to help with the restructure initiative?
BOLO  +   242d ago
Why would Facebook buy their VR if they already have Oculus? C'mon.
marloc_x  +   242d ago
ArbitorChief  +   242d ago
Keep thinking that, I want to experience true VR and being able to mod and experience community made creations and Morpheus cannot do that due to the PS4 hardware limitations and it being a closed platform.
#1.3 (Edited 242d ago ) | Agree(6) | Disagree(7) | Report | Reply
TheTowelBoy  +   242d ago
The question I have is will it stay an open platform because of this acquisition. I just want to know what FB really intends by doing this. I understand R&D but I WANT to know more about the rebranding.
MasterCornholio  +   242d ago
If you dont like Morpheus just buy access to Microsoft's VR beta. But since the Xbox One is even more limited your going to run into more issues on that platform.
Dante81  +   242d ago
You think Sony won't capitalize on this? They can take advantage of this blunder and own the console/PC VR market, while FBOculus and MS are twiddling their thumbs.
Bodge  +   242d ago
Heh, hilarious joke man.
miyamoto  +   242d ago
Q: Who owns Facebook?
A: Microsoft

Microsoft is behind Oculus Rift acquisition to fight Sony!

Status: Corporate Investor
Founded: 1975
Location: Seattle, WA

Facebook stake: 1.6%
Value: $1.36 billion
Beaten in search by Google, and wary of Google's acquisitions in web video (YouTube) and banner advertising (Doubleclick) , Microsoft CEO Steve Ballmer (pictured) was willing to do whatever necessary to get in bed with Facebook, and seal the Seattle software goliath's foray into Web 2.0. Though interested in acquiring Facebook outright, an idea Zuckerberg nixed, Microsoft (NASDAQ: MSFT) opted for a complicated arrangement that included an advertising partnership and a small stake in the social network. Microsoft invested $240 million in the Fall of 2007 at what appeared to be a nosebleed $15 billion valuation, which garnered Ballmer a 1.6% position. Eager that the investment not appear inflated, Microsoft welcomed the participation of Hong Kong billionaire Li Ka-Shing in the Series D round. Terms also precluded Google from making an investment in Facebook. The deal looked pitiful when DST bought a larger stake at a $10 billion valuation less than a year later. However, Facebook's current $75 billion valuation means Microsoft's stake in privately-held Facebook has outperformed its own publicly-traded stock 5x.

- See more at: http://whoownsfacebook.com/...

M$ thinks they can buy success, eh?
annus  +   242d ago
Are you even reading what you are posting?

You say MS owns facebook with 1.6% stake, yet the first thing it says there is that Zuckerberg is at 28%, in fact MS aren't even there until 9th place.

That is not owning, and if you think this deal was done exclusively by MS I just.. I don't even know what to say, you fanboys are just plain stupid.
UltraNova  +   242d ago

Even though they have a 1.6% of the shares it doesnt eliminate the fact that they are the strongest partner if not the most valuable of FB. Stronger means powerful and influential. Dont forget FB is on windows first and foremost.

I can definitely see why would MS want to go to Zuckerberg and 'steer him' into seeing the endless possibilities of a VR enterprise.

If this actually happened which is very plausible IMO its a way MS can fight Sony and its VR plan without even having to develop anything themselves avoiding the risk coming with it.

All this speculation will be confirmed when Zucky announces VR support for Xbox.

This way FB will be pushing and supporting the gaming side of Oculous via MS and their gaming ties, pleasing the already enraged early and future supporters of the currently RIP'ed RIFT VR.

As I said above all this is crude speculation/conspiracy theory... if you dont know MS and the way they operate. If you do (I would like to think I do) then all this is very very possible.

Dont just consume anything. Question everything.
#1.5.2 (Edited 242d ago ) | Agree(5) | Disagree(3) | Report
starchild  +   242d ago
Facebook just acquired the leading VR company in the world. Why would they throw that all away just so people can look at Facebook in VR? It's absurd. They bought a VR company because they believe in Oculus's vision for VR, and, yes, that does include social networking apps in VR down the line.

But Facebook knows that gaming is the main impetus that will get VR off the ground. They know that game developers are uniquely positioned to bring the best VR content. And they know that PC gamers are the only people that currently have the sort of PC hardware that can drive a good VR experience.

To anyone with a brain and an ounce of critical thinking skills there is literally zero chance of Facebook scrapping Oculus's gaming plans in the near term.

And really, even in the long term, they have nothing to gain by blocking content developers from making games and other applications for the Rift.

The PC is an open platform and VR headsets are protected by few if any patents, so literally anybody can come into the VR market and compete. There is nothing stopping Microsoft, Sony, Google, Razer or Amazon from stepping in and bringing their own VR headset to market. Facebook knows this. The ONLY way they can become a dominant player in the emerging VR field is if they give people the kinds of VR experiences they want.

If Facebook was somehow stupid enough to limit the Rift to their social network applications or plaster adds in our gaming or movie-watching experiences you can be sure that the Rift would be dead in the water. Even far down the line this is the case.

It's in their interest to support gaming both in the near and long term.
MelvinTheGreat  +   242d ago
The problem is facebook wants to hse to connect. Theres not a doutb in my mind that facebook will intergrate social media into this thing. The dream was to get away from reality not connect to it
starchild  +   242d ago
Of course at some point they will expand VR into social networking, but how does that affect gaming? I haven't seen a single credible scenario in which it would benefit Facebook to limit gaming on the Rift in any way.

The Rift is a hardware device. Facebook hasn't even done the things people are claiming they will do to acquired sites like Instagram and WhatsApp and those are essentially software.

So sure, they'll make some kind of new social networking VR experience down the line that will include ads and it will take advantage of the Rift, but it won't change anything about gaming, which will already be well established on the Rift by then.
MelvinTheGreat  +   242d ago
Id *would have taken* oculus anyday of the weak because my computer is more powerful.
ArbitorChief  +   242d ago
lol if anything, the Facebook deal will make Oculus a far bigger threat to the VR industry. There looking to expand VR into more than just gaming but still keep gaming a first priority.
SteamPowered  +   242d ago
Valve!! Come save us with your VR solution!!
porkChop  +   242d ago
Valve shelved their VR solution and instead chose to work with and back Oculus...
SteamPowered  +   242d ago
Valve showed thier VR at a conference a few months ago. I don't think it's stuffed in the back closet with the Xmas decorations quite yet. They could dust it off and start some steam developement.
porkChop  +   242d ago
Hopefully they do then, because Oculus for me is dead. Sony has said they may bring Morpheus to PC eventually, but if they don't then PC will still need a proper VR solution.
jhoward585  +   242d ago
The only way I'll trust FB if they hire someone who has a great amount of gaming experience and development to handle everything dealing with the oculus.

Its a proven fact that the success of a product can only be achieved with proper experience, with great financial backing of course. No one at FB knows anything about the core gaming market and that's a fact.

Had it been the casual market FB was taking on I would've thought differently.
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dcj0524  +   242d ago
It's literally The SAME EXACT people at Oculus Rift but 400 million dollars richer. How is that anything but good.
BitbyDeath  +   242d ago
I for one like that the creators of Facebook are expanding their horizons. You can't live on just Facebook forever. Especially when you have a ton of money that could go into starting new ventures and pushing the boundaries of technology.

But this jump really doesn't make sense, and looks to be one of those horse before the cart situations. I doubt much thinking went into this move aside from "this looks to be popular, lets buy it".

Facebook should really have gotten itself into the gaming scene first and then venture forth.

Looks like gaming will be changing soon with Steam, Amazon and now Facebook stepping up.
Geekman  +   242d ago
People are making this a much bigger deal than it is. Facebook owns a video game platform. Ok. Let's look at the Playstation Brand.

Beat the N64 after a heated battle and got first place.

Playstation 2: Dominated the other 2 platforms in almost every way possible.

Playstation 3: Got second place, still beat the Xbox 360 since it was launched. (And it was flopping hard at launch.) And right now is beating both its competitors next gen systems.

Playstation 4: It's still too early, but it may very well pass up the PS2s lifetime sales if it keeps the pace it's going.

Where am I getting with this? SONYS CREDIT RATING IS JUNK! They screw up in just about every other area besides the Playstation, and are even about to sell off their PC division! And yet, despite all this, the Playstation Brand is doing amazing!

So when someone CREDIBLE buys a video game platform, someone who, unlike Sony, owes no debts and is not in danger of going bankrupt in two years, (Calm down, with PS4 sales, I doubt it will happen.) it's all doom and gloom. I'm not saying Facebook won't screw this up, but I'm sure their at least going to TRY and make smart decisions.
porkChop  +   242d ago
Oculus is not in any way worth $2B. Facebook will be expecting SIGNIFICANT profit on top of that $2B investment. They will not make that money just by selling the Rift.

Now the way FB makes its money, and the only thing its ever cared about, is growing their user base so they can make more money from ADS. The second biggest way that FB makes money is by selling all of its users personal data to literally anyone who wants it.

Make no mistake, eventually FB will find a way to bring ads to the Rift. And even though FB claims that Oculus will operate entirely separate and on its own terms, Oculus is still owned by FB. At any time FB can change its mind and take direct control over Oculus, fire anyone they want, etc.
ArbitorChief  +   242d ago
LMAO again with the ads XD Instantgram and WhatsApp don't have ads and are Facebook products. You do realize Facebook want to expand VR into all sorts of industries and essentially create a whole new industry. They have a far better chance of making a return than Sony does.
jhoward585  +   242d ago
You're probably right.FB will find a way to bring ads to the Rift. While in VR Pop up ads would probably be annoying as hell. But FB could add it in on your VR experience. Like maybe through a city filled with billboard/ads. The natural way.
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porkChop  +   242d ago
Arbitor, you bring up Instagram as if that means anything. You conveniently forget that FB originally said they planned to monetize Instagram with ads. The ONLY reason they didn't end up doing that is because Instagram started bleeding users, people were closing their accounts left and right.

And FB literally JUST bought WhatsApp, so just because there aren't any ads now doesn't mean there never will be. FB always finds a way to monetize everything, you're an utter fool if you really think they won't do the same to Oculus and the Rift.
starchild  +   242d ago
That's not going to happen. There won't be ads inside games and movies in the Rift unless the content creators put them there. Ads are the exact opposite of immersion and there is no way that Oculus or Facebook is going to kill their shot at VR just to try to force ads where people won't accept them.

It would be too easy for some competitor to swoop in and take the VR market from them if they do that, and they know that.

There will be ads at some point, but they will be ads inside of some future VR socializing space that Facebook designs, not inside our games and movies.
jhoward585  +   242d ago

so How do you think FB makes money? Primarily, they make money through ads. Its free to set a FB account right?

Its been FB MO from the day it got started back in 2004. It worked for them then, and i'm sure i'll work for them today. However, I think FB can't use the same advertising approach they've used online. In VR world I believe things will have to be handled a little different because everything are viewed up close. So I think the only way to advertise ads in VR is do it the natural way so it wouldn't ruin one VR experiences.
#6.1.5 (Edited 242d ago ) | Agree(3) | Disagree(1) | Report
Pintheshadows  +   242d ago
You know Sony owns most of Japans largest insurance company right? That is where they make most of their money.

Even with the tech division ouside of PS doing badly the company is going nowhere.

I'm just a bit fed up of this 'Sony gone go bankrupt' when no one seems to know how things actually are.
MelvinTheGreat  +   242d ago
Weird cause sony isnt making much money...
Pintheshadows  +   242d ago
Not under their tech umbrella, but much like Microsoft, Sony is a corp. They are massive and have their fingers in so many pies it is ridiculous. They are also heavily involved in investment banking.
justSumDood  +   242d ago

"Ads are the exact opposite of immersion..."

Product Placement has been around since the '80s. It's commonplace in Hollywood movies and we've seen the technique applied to the gaming industry (though to a much smaller degree.)

It's highly effective and virtually transparent.

You say it breaks the immersion, I say it has the opposite effect.
Witnessing someone in a movie or simulation using a real world product creates an instantaneous connection, one that cements itself in reality, thus ADDING to the immersion.
Funantic1  +   242d ago
The Morpheus and Vita have the same doomed fate. Wait and see.
djplonker  +   242d ago
The vita is selling fine and I have never regretted my day one purchase

ffx hd
Persona 4 golden

are two of the best games I have played in years and the fact I can play my ps4 in bed makes it all the sweeter.

Your just a hater I kinda feel sorry for you having to lie to your self like that!
sAVAge_bEaST  +   242d ago
edqe  +   242d ago
Oculus Rift is now stronger than ever and with Facebook it is going to have much more visibility among "masses".

Project Morpheus is OK but unfortunately it is for PS4 only, it's totally locked up device (SDK/API) and it's technology is not good enough (1080p is bare minimum).
djplonker  +   242d ago
Are you suggesting there should be a 4k vr headset?

Because that would be THOUSANDS to buy and is not going to sell very many if sony can get 1080p that would be perfect any more and its going to be way too expensive with current technology!
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DJ  +   242d ago
This is great news for Valve, Sony and Microsoft. One of them is going to have to step up to the plate and provide a VR headset for the general public.

Oculus will most likely be leveraged as an advertising platform by Facebook.
Bloodjunkie  +   242d ago
The King is dead (Oculus Rift)! Long live the King (Sony Morpheus)!

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