Sony
has paused production of its latest-generation
virtual reality
headset, the
PlayStation VR2
, due to declining sales. Sources familiar with the company's plans told Bloomberg that the headset’s stocks have been building up throughout Sony's supply chain since its debut around a year ago.
The
PSVR2
, compatible with the
PlayStation 5
console, has seen its shipments decline every quarter since its debut, with over 2 million units produced. Now, a surplus quantity of headset is available with Sony, which it apparently wants to sell before making new ones.
Bloomberg’s report highlights that the main challenge facing the PSVR2 is the lack of content and entertainment available on the platform. While the headset is compatible with a handful of AAA games, the device's high price point has led to heightened consumer expectations. Additionally, Sony's recent layoffs have impacted teams working on
VR
titles, with the closure of its London Studio and the downsizing of Firesprite studio.
Sony recently announced plans to test PC support for the PSVR2 to address the lack of content. The headset's support for PC titles remains unclear, with support planned for later this year.
Even if Sony manages to bring new content for the PSVR2, the high price of VR hardware is going to be the main hurdle to its expansion. “The high price of VR hardware acts as the main hurdle for its expansion,” said Macquarie analyst Yijia Zhai.
Zhai further adds, “Currently, there are limited games that support VR devices, and that will also lead to lack of motivation for players to purchase VR hardware. This limited content also has a reason – the development cost for VR games is substantially higher than normal titles.”
Despite the current challenges, IDC forecasts the VR market to grow an average of 31.5% annually between 2023 and 2028. Analyst notes that this growth is partly driven by
Apple
’s entry with its
Vision Pro
headset.
PSVR2 is not the only Sony product hit by slow demand. Sales of the PlayStation 5 console have also declined for the past few quarters, and in the hope of reversing the course, Sony is preparing a new “Pro” console, the
PS5
Pro. The new Pro console is expected to hit the market later this year during the holiday season.
English (US) ·