Sony, the pioneering force in gaming technology, has announced a temporary cessation of production for its PlayStation VR2 headset, citing a downturn in sales as the primary impetus behind this strategic pause.
Introduced with great fanfare in February 2023 as a pivotal accessory for the PlayStation 5 ecosystem, the PlayStation VR2 was poised to spearhead the proliferation of virtual reality headsets in the gaming market. However, sources within Sony’s purview divulge that dwindling sales figures have prompted the company to reassess its production strategy.
Reports suggest that the PlayStation VR2 has encountered stagnation in the marketplace, with stocks accumulating across Sony’s supply chain since its unveiling approximately a year ago. Despite initial enthusiasm, quarterly shipments of the PSVR2 have consistently declined, culminating in an inventory surplus exceeding 2 million units.
One of the chief impediments hampering the PSVR2’s trajectory is the dearth of compelling content and entertainment offerings within the platform. While the headset boasts compatibility with select AAA titles, its premium price point has raised consumer expectations to levels that sales figures have struggled to meet.
Moreover, recent organizational restructuring within Sony, including the closure of its London Studio and downsizing of its Firesprite studio, has reverberated across teams tasked with VR product development, further complicating the landscape.
In a bid to ameliorate the content deficit, Sony has unveiled plans to explore PC support for the PlayStation VR2, albeit details regarding its functionality within PC gaming remain shrouded in mystery. Anticipated to debut later this year, this endeavor underscores Sony’s commitment to revitalizing the PSVR2 ecosystem.
Nevertheless, industry analysts caution that the exorbitant cost of VR hardware remains a formidable barrier to widespread adoption. Yijia Zhai, an analyst at Macquarie, elucidates, “The high price of VR hardware acts as the main hurdle for its expansion. Currently, there are limited games that support VR devices, and that will also lead to a lack of motivation for players to purchase VR hardware.”
Despite these challenges, market prognosticators, including the International Data Corporation (IDC), foresee a steady uptick in the VR market, projecting an average annual growth rate of 31.5 percent between 2023 and 2028. Apple’s foray into the VR space with its Vision Pro headset is anticipated to further catalyze this growth trajectory.
In tandem with the PSVR2’s temporary production halt, Sony is confronting tepid demand for its flagship PlayStation 5 platform. To counteract this downturn, Sony is poised to unveil the PS5 Pro, a new iteration slated for release later in 2024, poised to reignite consumer interest and invigorate the gaming landscape ahead of the holiday season.
