Virtual reality headset sales plummet as early hype wanes

Headsets such as HTC's Vive have struggled to attract sales - TASS

Sales of virtual reality headsets have slumped this year, in a worrying sign for companies that have placed heavy bets on the technology becoming the next major computing paradigm.

Research company IDC said that combined sales of virtual reality (VR) and augmented reality headsets, the vast majority of which are VR devices, fell by 30.5pc in the first quarter of the year to 1.2m.

Although the drop was explained away by fewer manufacturers giving away VR headsets with smartphone sales, the figures are the latest sign that consumers are shunning the futuristic technology.

Facebook, Google and Samsung have all invested in VR, most notably in the case of Facebook's $2bn (£1.5bn) acquisition of Oculus in 2014.

However, critics have said that high-end headsets are too bulky and expensive, and require an expensive computer to run. Cheaper devices that connect to a smartphone provide an inferior experience and drain battery life.

The history of virtual reality

Some technology executives, most notably Apple's Tim Cook, have said that VR is isolating and have limited their investment in the technology.

IDC called it a "poor start" to the year but said it expected sales to return to growth later this year, reaching 8.1m in 2018 and 39.2m in 2022.

"Looking ahead, consumers can expect easier-to-use devices at lower price points. Combine that with a growing lineup of content from game makers, Hollywood studios, and even vocational training institutions, and we see a brighter future for the adoption of virtual reality," said IDC's Jitesh Ubrani.