Google (GOOG -0.4%) appears to have "seriously sniffed around" Oculus VR before Facebook (FB -3.8%) closed a deal to buy the VR headset maker, Kara Swisher reports. Meanwhile, The Verge reports "several big companies" had made overtures to Oculus (no names are given), and that the startup's VC investors "offered the company more money to go it alone."
Over time, Oculus' Rift headset, which Facebook hopes will be used for many non-gaming applications, could compete against Google Glass. For now, they address different markets: Rift is much heavier/bulkier than Glass, but also provides an immersive VR/3D gaming experience.
During a CC, Mark Zuckerberg asserted the Rift is "way ahead" of rival products such as Sony's (SNE -0.4%) Morpheus (due in 2015), and that Oculus' talent is unmatched. Oculus CEO Brendan Iribe argues Facebook's resources will help make the Rift cheaper (the dev. kit currently goes for $350).
Stacy Higginbotham remains an Oculus skeptic: While calling a demo she tried out "immersive and neat," she adds it was "nothing like real life." Brad Stone thinks "there's nothing social" about headsets that "[blot] out absolutely everything around you."
Jim Edwards, defending the deal, calls the Rift the kind of product for which words can't describe "how incredible the experience of wearing one is." VC Chris Dixon, who backed Oculus, makes a similar case.
Some game developers are unhappy about the deal. As are some of the Kickstarter backers who poured $2.4M into Oculus, and only have t-shirts and dev. kits to show for it. Facebook has joined several other Internet momentum stocks in selling off in the wake of King's disappointing IPO.