Meta Raises the Price of Quest 2 VR HMD amid Chaotic Internal, VR Market, and Macroeconomic Environment

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By Eric Abbruzzese | 3Q 2022 | IN-6630

 

An End-of-Life Price Hike

NEWS


Normally, when a tech product has been available for a few years and replacements are in the pipeline, a company will lower prices to help shift remaining stock and prepare for the new device sales. Meta has flipped that approach, instead raising the price of its incredibly popular Meta Quest 2 headset by 33%. Without context, this move seems misguided at best, but Meta’s overall Virtual Reality (VR) story and broad market approach in the metaverse is nothing if not complex. Coincidentally—or quite intentionally, depending on your viewpoint—Meta’s recent financial reports and Reality Labs spending calls into question its market approach, competitive position in both hardware and ecosystem, and, ultimately, its potential timeline to fully realize VR and metaverse ambitions.

Subsidizing, but at What Cost?

IMPACT


It’s been understood that the Meta Quest 2 was being sold at a loss—at its initial lowest price of US$299, it undercut every comparable VR headset, and sometimes by a significant margin. Meta was su…

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