-
Hey, guest user. Hope you're enjoying NeoGAF! Have you considered registering for an account? Come join us and add your take to the daily discourse.
Zuckerburg's proposition as recalled by oculus CEO
- Thread starter -COOLIO-
- Start date
So Oculus gets $2b to remain autonomous, get a better production pipeline and sell their device at cost or near cost. Sweet deal! What's the catch?
Snark aside it's amazing this got done in three days. From reading between the lines, Oculus envisions a future where we all interact in a virtual cyberspace and Facebook wants to be that virtual cyberspace someday. The part where the user base and the things we do inside of said cyberspace becomes the currency that makes Facebook lots of money is the dark side of the equation. Apparently that was a path Palmer was willing to go down if it meant his dream of VR in all aspects of society had a greater chance of coming to fruition, which it absolutely does with a force like Facebook behind it now.
The selfish part of me wishes he was more of a stubborn visionary with a desire to bring about his revolution on his own terms - the tech is so potentially important that it deserves to be done right. Imagine if Steve Jobs sold Apple to IBM after their first homebrew machine debuted? Or more appropriately, an ad agency? However I can't fault Palmer for wanting widespread reach for his baby above all else, that and 2 billion dollars. We may be headed towards a future Douglas Adams would be proud/horrified of, but we'll likely have widespread VR. Interesting times.
Snark aside it's amazing this got done in three days. From reading between the lines, Oculus envisions a future where we all interact in a virtual cyberspace and Facebook wants to be that virtual cyberspace someday. The part where the user base and the things we do inside of said cyberspace becomes the currency that makes Facebook lots of money is the dark side of the equation. Apparently that was a path Palmer was willing to go down if it meant his dream of VR in all aspects of society had a greater chance of coming to fruition, which it absolutely does with a force like Facebook behind it now.
The selfish part of me wishes he was more of a stubborn visionary with a desire to bring about his revolution on his own terms - the tech is so potentially important that it deserves to be done right. Imagine if Steve Jobs sold Apple to IBM after their first homebrew machine debuted? Or more appropriately, an ad agency? However I can't fault Palmer for wanting widespread reach for his baby above all else, that and 2 billion dollars. We may be headed towards a future Douglas Adams would be proud/horrified of, but we'll likely have widespread VR. Interesting times.
Oyashrio-Sama
Member
Something, Something... "To good to be true" Something, Something...
They can always charge for online and sell $60 apps for it.
-COOLIO-
The Everyman
you make it sound like selling aggregate data and serving ads is akin to child slavery.
i realize that it doesnt make everyone comfortable, but i rather use google search free of charge than at 50 cents a pop.
What kind of contract is there that allows me outright buy a company but not have any power over it? Zuckerberg can still fire Luckey since he is only a employee now with a small stake in the company.
Osiris
I permanently banned my 6 year old daughter from using the PS4 for mistakenly sending grief reports as it's too hard to watch or talk to her
I honestly don't get the Facebook angle on this.
Social / Innovative AR I get, a Google Glass competitor for them I would understand, but VR?, If there was a real, innovative market for this HMD's would already be doing roaring trade.
Social / Innovative AR I get, a Google Glass competitor for them I would understand, but VR?, If there was a real, innovative market for this HMD's would already be doing roaring trade.
KoopaTheCasual
Junior Member
And if Luckey gets his way, this would all be removable (installed OS) without voiding any warranty, right? That would be a win win.
-COOLIO-
The Everyman
i know about them, my buddy uses it. im not a fan. i appreciate the recommendation though.
They are investing in the future, as tech companies tend to do.
ElectricKaibutsu
Member
$2b out of the goodness of his heart.
Yes, Oculus is going to be wholly owned by Facebook. It's spelled out clearly in the filing:
On March 25, 2014, Facebook, Inc. ("Parent") entered into an Agreement and Plan of Merger (the "Merger Agreement") with Inception Acquisition Sub, Inc., a Delaware corporation and wholly owned subsidiary of Parent, Inception Acquisition Sub II, LLC, a Delaware limited liability company, a wholly owned subsidiary of Parent, Oculus VR, Inc., a Delaware corporation ("Oculus"), and a stockholders' agent.
Upon consummation (the "Closing") of the transactions contemplated by the Merger Agreement (the "Merger"), all outstanding shares of Oculus capital stock and options to purchase Oculus capital stock will be cancelled in exchange for an aggregate of 23,071,377 shares of Parent's Class B common stock (valued at $1.6 billion based on the average closing price of the 20 trading days preceding March 21, 2014 of $69.35 per share) and $400 million in cash. Up to an additional $60 million in cash and 3,460,706 shares of Parent's Class B Common stock would be payable upon the completion of certain milestones.
Is it honestly? It was brought to my attention during this whole thing and I was thinking about checking it out. What don't you like about it? The synopsis sounds interesting.
That guy is claiming it was all a joke. http://www.reddit.com/r/oculus/comments/21d5zi/roculus_mods_what_can_be_done_to_keep_the/cgc7a6z
hahaha, what?
Haunted
Member
Great minds!
-COOLIO-
The Everyman
ill take a swing at how i think facebook will monetize:
install a tegra k1 on rift devices. fork android and create an app store for the rift. charge the standard 30% commission on app purchases. also develop a central playstation home like world hub built on top of facebook where people can socialize, then charge for trickets, apartment furniture, etc. populate that virtual world with ads for companies like coke with vending machines, billboards etc.
release the rift with 2 versions. the premium version will be 350 - 400 with a 1440p display, and the regular version will be 250-300 with a 1080p display. the regular version will be sold at cost. the premum version will make a ~30 profit or something like that.
im available facebook. sign me.
install a tegra k1 on rift devices. fork android and create an app store for the rift. charge the standard 30% commission on app purchases. also develop a central playstation home like world hub built on top of facebook where people can socialize, then charge for trickets, apartment furniture, etc. populate that virtual world with ads for companies like coke with vending machines, billboards etc.
release the rift with 2 versions. the premium version will be 350 - 400 with a 1440p display, and the regular version will be 250-300 with a 1080p display. the regular version will be sold at cost. the premum version will make a ~30 profit or something like that.
im available facebook. sign me.
Oh, don't let the opinion on one dude stop you from trying new. But IMO, the 80s-90s pop culture "references" was purely namedrops and never used in a clever way, and the main hero is even more Gary Stu than Kirito.
I dare say it's the western equivalent to Sword Art Online, whatever you wish to make of that
Astral/H3X
Member
I'd imagine that Facebook is planning on introducing a VR hangout type deal. Selling the Rift at cost would allow them to get the Rift in as many houses as possible, and just one of many things they can do with it is join FaceVR.
If you think about it, it makes much more sense to have Oculus Rift stand up to the enthusiast standards that we've been expecting, as open as possible, and then have a Facebook VR environment be an option.
Say someone tells you they are selling you -just- a Facebook VR experience? Pretty crappy right? Now how about an enthusiast piece of kit, capable of all these amazing things, and BTW, you're guaranteed compatibility with Facebook? Much better sale, IMO.
Assuming Facebook isn't the devil, this can actually become really huge for both parties. If they allow Rift to be as pure as it needs, and use the expertise to build an external program which benefits, but is in no way required by the rift, this is a positive thing.
If you think about it, it makes much more sense to have Oculus Rift stand up to the enthusiast standards that we've been expecting, as open as possible, and then have a Facebook VR environment be an option.
Say someone tells you they are selling you -just- a Facebook VR experience? Pretty crappy right? Now how about an enthusiast piece of kit, capable of all these amazing things, and BTW, you're guaranteed compatibility with Facebook? Much better sale, IMO.
Assuming Facebook isn't the devil, this can actually become really huge for both parties. If they allow Rift to be as pure as it needs, and use the expertise to build an external program which benefits, but is in no way required by the rift, this is a positive thing.
All interest completely killed, thank you for saving me the time.
SAO being terrible aside, Gary Stus completely ruin any enjoyment I might get out of story.
mugurumakensei
Member
Near cost will result in larger market share. As well, Facebook just by Oculus means it can get access to the SDK well before other developers. Oculus will likely focus on partnerships with game developers while other teams at facebook work on non-gaming applications. Being the first company to offer consumer focused VR sports games, VR training, and VR parties means they are in the market well before anyone can hope to catch. Oculus gets their goal of making a VR headset for gaming. Facebook gets an early start into what can be the future of entertainment not all unlike what Sony' s ambitions and Microsoft's ambitions of owning the living room with gaming devices that played media (dvds, cds, etc).
SargerusBR
I love Pokken!
For 2 billion dollars? Sure.
Calamari41
41 > 38
This sounds like exactly the kind of thing a person would have leaked in order to give themselves good PR.
I mean, ok, the guy who just got a cool two billion is painting the guy who gave it to him as a saint and the hero of the masses. News flash, I guess.
This happened in three days? From zero to "paperwork signed?" Here's Zuckerberg's actual pitch:
"I will pay you two billion dollars for your company."
I mean, ok, the guy who just got a cool two billion is painting the guy who gave it to him as a saint and the hero of the masses. News flash, I guess.
This happened in three days? From zero to "paperwork signed?" Here's Zuckerberg's actual pitch:
"I will pay you two billion dollars for your company."
A contract can literally say anything. Facebook has done the same thing for 2 other companies, and they both have operated pretty much independently, just like Oculus is saying they'll also be able to do.
E-Cat
Member
slowclap.gif
mcdomination
Member
Bah! Don't let that dissuade you. It's not that bad and it's worth the read if you grew up in the 80's, have seen The Matrix a dozen times, and like video games to some capacity.
figadapaura
Member
lol sounds about right.
Triggerhappytel
Member
Intense data mining and hence lazer-guided targeted marketing.
Osiris
I permanently banned my 6 year old daughter from using the PS4 for mistakenly sending grief reports as it's too hard to watch or talk to her
Ultimately that doesn't matter, Facebook now owns everything Oculus owned, note the past tense.
Just because they are allowing autonomy now, means nothing for the future, they own it all, with a $2B price-tag they sure as hell will be able to do whatever they like with it, regardless of any pre-deal "assurances".
The contract might literally have stated that Oculus retains full autonomy and that facebook has absolutely zero input or control over what Oculus does. It might also say that all future decisions and work done by Oculus will now come directly from facebook's board of directors and shareholders.
Obviously neither is true, but the point is we don't know, so jumping to conclusions is completely pointless. Just wait and see.
Or maybe a bunch of crazies are doing that because they know people will think it's that dastardly Zuckerburg and his Facebook cronies.
Selling VR place at concert or sport event with some integrated adds.
HueyFreeman
Banned
"as recalled by"
Because that's worth $400m, the opportunity to sell a product at cost. /sarcasm
Why is it so important that these units get into homes that Facebook is willing to invest in making the price as low as possible?
It can't just be because they believe in the hardware right? I mean I sincerely hope that's the case but if so, why haven't they said as much? That sounds like the perfect thing to be messaging to enthusiasts right now. More directly than this at least.
Why is it so important that these units get into homes that Facebook is willing to invest in making the price as low as possible?
It can't just be because they believe in the hardware right? I mean I sincerely hope that's the case but if so, why haven't they said as much? That sounds like the perfect thing to be messaging to enthusiasts right now. More directly than this at least.
I worked for a company some years ago when they were acquired by a much larger firm. The execs of that company flat out lied about how they were going to handle us and how things would not change. When called on it later, the exec's excuse was "Hey, it's just business, nothing personal."
Nah, it's not that subtle in that it is made for geeks who dig the scenario and the retro/gaming references. The story itself isn't amazing or anything, but I'd say it's a fun read for most people on Gaming GAF.
The audiobook is pretty sweet too, Wil Wheaton did a great job on it. Had the eBook but ended up just listening to all of it.
Facebook views vr possibly becoming as big as television is today. If that's the case, it was always meant to be bigger than just gaming. Regardless, good vr tech is inherently good Gaming Tech. I don't see anyone complaining that their television is not focused on games. In the end, it's just a display device. Nothing more.