While the metaverse has been a hot topic recently, it has become one in a handful of many recent and more popular VR devices. This means the Meta dominance is challenged in the market. Aside from Meta, customers can opt for the Quest 2 and the BytDance’s Pico Neo 3.
Report About Meta Dominance Being Challenged
The IDC (International Data Corporation) reported via its Worldwide Quarterly Augmented and Virtual Reality Headset Tracker that the shipments of virtual reality (VR) headsets worldwide increased by 241.6 percent in the first quarter of 2022. This figure is compared to the first quarter of 2021. It showed a significant jump and indicates that the demand for VR is at an all-time high.
The report shows that Meta dominates most of the shipments encompassing 90 percent of the market and is followed by its most popular rival, the Oculus Quest 2. The Oculus Quest 2 was just recently rebranded as Meta Quest 2 in November 2021, which Facebook Reality Labs also developed.
Its predecessor is the Oculus Quest unveiled on the 16th of September 2020 via Facebook Connect 7.
Contenders and Expansion
Meta continues to provide more exclusive content and subsidize hardware. Another contender on the list is ByteDance’s Pico Neo 3, which has a 4.5 percent share. While the Pico Neo continues to operate within China, it has also gained traction in global markets, especially in the commercial sector.
There has also been a recent expansion to many European countries. And there’s an increasing library of consumer-friendly content, which will, in turn, expand the brand’s audience. The HTC, iQIYI, and DPVR gathered the top five companies with shares below four percent combined.
The IDC research manager for Mobility and Consumer Device Trackers, Jitesh Ubrani said, “Meta continues to pour dollars into developing the metaverse but the strategy of promoting low-cost hardware at the expense of profitability isn’t sustainable in the long run.”
He also added, “The good news is that the upcoming productivity-oriented headset from Meta will serve as the starting point for the company’s pivot towards higher revenue generating hardware and will also help provide an uplift in end-user pricing for the entire industry as average selling prices creep up and the tech substantially improves.”
Shipments are forecasted to increase in 2022
The expected units by the end of the year 2022 will reach up to 13.9 million. This means the VR shipments will grow further by the late quarters of 2022 and increase by 26.6 percent.
However, many brands are cooking up something for 2023, which means more VR headsets will soon join the market. New models of the Pico and Meta are expected to launch next year. Moreover, Apple is also launching its new VR headset with Sony.
IDC’s research director Ramon Llamas said, “All eyes will be on Apple as it launches its first headset next year, and while it is tempting to imagine the company shipping high volumes, keep in mind that this is its first headset that will appeal primarily to a small audience of early adopters and Apple fans.”
