Business Technology

Sunday 17 November 2019

Facebook pays $2bn for virtual reality firm Oculus

Mark Zuckerberg
Mark Zuckerberg
Back To The Future: The Oculus Rift is still in development, but it’ll be big

Facebook has announced that it will buy virtual-reality technology company Oculus for about $2bn (€1.4bn), in its first push into mobile hardware.

The deal includes $400m in cash and 23.1 million Facebook shares, as well as an additional $300m if the acquisition achieves certain milestones, a statement from the social media giant read today.

Oculus makes a device called Oculus Rift that people wear to play games and access other immersive virtual-reality experiences.

The deal gives Facebook leverage in the wearable-technology market so it can compete with the likes of Google Glass.

“Mobile is the platform of today, and now we’re also getting ready for the platforms of tomorrow,” Zuckerberg said. “Oculus has the chance to create the most social platform ever, and change the way we work, play and communicate.”

This acquisition is the latest in a line of strategic moves from Facebook. The company purchased mobile photo-sharing application Instagram in 2012 for about $700m and last month agreed to buy mobile messaging app WhatsApp Inc. for about $19bn.

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