Sony’s Virtual Reality Headset Sales Prove the VR Market Has Viability @themotleyfool #stocks $SNE $NVDA $FB

Sony has worked with more than 230 developers and content creators to build out games and other VR content for the PS4. Most consumers that own or are buying a PS4 probably aren’t getting it just for the VR content, which makes its virtual reality features more of an added bonus. Contrast that with the more expensive Rift or Vive headsets that require expensive computers and have much less content (both for VR and traditional gaming) than the PS4.

There’s still a long way to go

The virtual reality market is expected to be worth $70 billion by 2020, and Sony’s initial VR headset sales numbers show the technology has true potential. But it’ll still be a while before it truly takes off.

About a year ago I wrote that Sony was well positioned to take the lead in VR[7]. That appears to becoming true, but investors should still be a bit cautious with their optimism. It remains unclear whether these headset sales are signs of long-term VR success or just a small amount of pent-up demand among PS4 users.

But what’s clear is that Sony is looking ahead to VR[8]. In a press release last year, the company said it had, “… identified virtual reality as an area it believes offers great future potential for the Sony Group in games” and in other areas of its business. And following the modest success of its headset, the company is already planning on releasing a new gun-like controller for VR games in May.

Sony and other VR hardware and software makers are just getting started, and there will likely be more challenges and some pitfalls along the way. But tech investors betting on VR should take Sony’s recent headset sales as an early indicator that this technology may truly have staying power.

References

  1. ^ NASDAQ:FB (www.fool.com)
  2. ^ NASDAQ:NVDA (www.fool.com)
  3. ^ just 1% of PCs sold last year (www.fool.com)
  4. ^ NYSE:SNE (www.fool.com)
  5. ^ late last month that (www.nytimes.com)
  6. ^ has been questioned (www.fool.com)
  7. ^ take the lead in VR (www.fool.com)
  8. ^ looking ahead to VR (www.fool.com)

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