After purchasing WhatsApp for $16 billion, Facebook still has money to burn. Today, the social network announced it will buy Oculus VR for $2 billion.
If you’re not familiar with Oculus VR, they’re responsible for making the popular Rift virtual reality headset. The company debuted its second development headset, DK2, at the Game Developers Conference last week. The Oculus Rift is expected to go on sale sometime this year.
“Mobile is the platform of today, and now we’re also getting ready for the platforms of tomorrow.”
So why did Facebook buy Oculus VR, a gaming company?
“Mobile is the platform of today, and now we’re also getting ready for the platforms of tomorrow. Oculus has the chance to create the most social platform ever, and change the way we work, play and communicate,” said Facebook CEO Mark Zuckerberg.
The value of Oculus is a platform for Facebook in the future. Online games like Second Life would change completely with virtual reality, creating a more immerse experience. Imagine massive online multiplayer games like World of Warcraft with virtual reality. And all with Facebook ads, of course.
Social networking could also change with virtual reality. If Facebook can combine 3D cameras with the Oculus, it could represent users as 3D avatars within the Oculus version of Facebook for video chat.
Facebook will purchase Oculus VR for $400 million in cash with around $1.6 billion in stock. Although $2 billion seems like a lot, it pales in comparison to Facebook’s $16 billion WhatsApp purchase. The deal is expected to close Q2 of this year.
Source: PR Newswire