To be at the forefront of technology has never been cheap.
In 1984, Apple Computer Inc. released the first mass-market personal computer that featured an innovative graphical user interface and the first mouse. It cost $2,495.
In 2016, Facebook-owned Oculus Rift could very well be a game changer in the next generation of computing just like the first Macintosh. It (only) costs $599.
Palmer Luckey, the man in charge at Oculus, says it himself – they're not making much money at all on that seemingly staggering $599 price tag.
To reiterate, we are not making money on Rift hardware. High end VR is expensive, but Rift is obscenely cheap for what it is.
— Palmer Luckey (@PalmerLuckey) January 6, 2016
He's right. New technologies often start out so pricey that only early adopters and high rollers are willing to shell out the cash for them. The first step in creating something new costs money in terms of design, testing and manufacturing in a market and supply chain that doesn't even exist yet.
In the future, though, we can expect Oculus to offer new hardware that won't cost so much. Oculus VP Max Cohen tells Pocket-Lint the company plans to follow up the Gear VR, which Oculus developed with Samsung to work with its high-end Galaxy phones, with a new headset "at an accessible price point."
"The Gear VR isn't $99 because it came out that way; it was designed to be that way," Cohen says. "You can imagine that our future versions will also be designed that way as well. We just want to keep it accessible and affordable."
For now, however, consumers have to make a choice between the cheaper Gear VR or the Oculus Rift with its controversial price tag. To be fair, consumers do have every right to feel sticker shock. The expected retail price for the Oculus Rift was in the range of $300 to $400. That's because the first Oculus Development Kit 1 and DK2 cost $300 and $350, respectively. Paying two times more than expected is literally not what the public expected.
The $599 package comes with the Oculus Rift headset with built-in headphones, a motion sensor, microphone, Xbox one controller and the new Oculus Remote. That does NOT include the high-end PC required to run the whole virtual reality setup.
The Oculus Rift requires a fairly new machine to power one's entry into the new world of virtual reality. Such a machine could cost as much as an additional $2,000. In fact, Oculus even has a special tool so users can check if their current setup is compatible enough to run the Rift.
If not, Oculus will have another online offering in February where they'll pair the Oculus Rift with a Rift-ready PC for $1,499.
It's all an eye-popping price for an eye-popping experience, but that's exactly what Oculus needs to do to keep from becoming just another tech trend like 3D TVs. The high sticker price equates to a high-quality virtual reality experience like no other.
Back in 1995, Nintendo released the Virtual Boy. It was Nintendo's first 32-bit 3D video game console and it was also its last. The Japanese gaming company sacrificed important features like a full-color display to bring the unit down to a more affordable $179 price tag.
Needless to say, the Virtual Boy was a commercial failure. It was Nintendo's second worst selling console ever after the 64DD. In fact, it flopped so bad in Japan and North America that it was never released in other regions. It also probably ruined virtual reality for the rest of the '90s, too.
Thankfully, the Oculus Rift is no Virtual Boy. Minutes after its sale went live online, delivery dates for the Rift's preorders kept getting pushed later and later in the year. If you tried to preorder one now, you'd probably get it by June.
And that's thing – people still want it even at a price of almost $600. But the wonderful thing about technology is that prices eventually drop down to a level where the rest of us can join in on the fun, too.
Look around – now we've all got laptops and smartphones in our bags and pockets. A few years down the line, we may all be in two places at once, thanks to virtual reality headsets just like the Oculus Rift.
Until then, Oculus Rift will continue to develop its more budget-friendly Gear VR line. For $99, Gear VR works with Samsung's latest phones to give users a taste of virtual reality.
That's key – it's just a "taste" of virtual reality. It's no Oculus Rift. Released just last year, Gear VR is Oculus' hold on everyone else to make VR more available to the general public.
"The Rift and the Gear VR need each other, they both offer something different but it's good for the overall VR industry. The Rift is this high-end, magical experience – you can walk through the room, you can use touch controllers, do all these things ... The Gear VR is about getting it to as many people to experience VR and share that with their friends," says Cohen.
Photo: Maurizio Pesce | Flickr
