Sony Group has halted production of its PS VR2 headset until it runs out of unsold units, raising questions about the appeal of the VR gadgets, according to people familiar with the matter.
The people, who spoke on condition of anonymity, said sales of the $550 portable accessory for the PlayStation 5 have gradually declined since its launch and inventory of the device has increased. Sony has produced more than 2 million units of the product since its launch in February last year, according to people familiar with the matter.
According to IDC, which tracks shipments to retailers rather than consumers, PS VR2 shipments have declined every quarter since launch. According to the information, there is a surplus of pre-assembled devices throughout Sony’s supply chain. However, IDC’s Francisco Geronimo believes Apple’s entry will help improve the product category in the coming years. “We forecast that the virtual reality market will grow at a CAGR of 31.5 percent from 2023 to 2028,” he said.
Sony is one of the leading providers of virtual reality devices alongside Metaplatform, but both companies are struggling to attract enough content and entertainment creators to make their platforms attractive. Apple’s more expensive Vision Pro headset has faced similar problems as it lacks proprietary apps from major Alphabet entertainment platforms Netflix and YouTube.
Last month, Tokyo-based Sony announced the closure of its PlayStation London division, which focuses on virtual reality game development. The move is part of a broader layoff and also affects internal studios such as Guerrilla Games, which worked on the Horizon PS VR2 exclusive series “Horizon Call of the Mountain.” It touched me.
Macquarie analyst Yijia Zhai said: “The high price of VR hardware is the main obstacle to its expansion.” “Currently, only a limited number of games are compatible with VR devices, which reduces gamers’ willingness to purchase VR hardware . There is a reason for this limited content. The cost of developing a VR game is significantly higher than a regular title.” . ”
Sony continues to work to expand the range of content available on the headset and announced in February that it would test PS VR2 players’ ability to access PC titles.
Bhupendra Singh Chundawat is a seasoned technology journalist with over 22 years of experience in the media industry. He specializes in covering the global technology landscape, with a deep focus on manufacturing trends and the geopolitical impact on tech companies. Currently serving as the Editor at Udaipur Kiran, his insights are shaped by decades of hands-on reporting and editorial leadership in the fast-evolving world of technology.
