Shots Fired: Zuck Hits Tim Cook with New VR Headset That's 91.45% Cheaper Than Apple Vision Pro...

Well friends, the world's latest fashion icon (read: Mark Zuckerburg) and his ragtag team of tech nerds have officially unveiled the Quest 3S, a virtual reality headset that’ll only set you back a nice $299. Yep, only $299. That’s it - all while Apple is still out here charging a casual $3,499 for its Vision Pro. Translation: It seems Meta is taking a different approach that allows anyone and everyone to jump into the Metaverse without selling a friggin kidney. 

(Source: Giphy) 

In short, after Meta’s connect event yesterday, Mark Zuckerberg’s latest strategy is clear: make the metaverse accessible to the masses. Instead of aiming for top-tier luxury, the Quest 3S is all about getting as many people as possible into VR, even if that means cutting a few corners.

(Source: CNBC) 

“Quest 3S is our play to make mixed reality mainstream,” Zuckerberg said as he basically hinted at quantity over quality while also saying “we’re redefining what an affordable, no-compromises headset can be.” Spoiler: there are some compromises.

Here’s the deal: The Quest 3S is essentially the Quest 3’s little sibling, but one that skipped a few meals. At $200 less than the Quest 3, you’re getting a lower resolution display and less storage, buuuuut you’re still getting the same Qualcomm Snapdragon XR2 chip and 8GB of RAM as its predecessor. So it’s not exactly “slow” by any means. 

(Source: Toms Guide) 

But still, it seems like Meta took the Quest 3, gave it a haircut, and said, “That’ll do.” And honestly, at $299, no one’s complaining. Especially not Zuck, who’s hoping this move will flood the market with enough headsets to make developers salivate.

In fact, Dan Ives from Wedbush basically echoed this as he stated the obvious, “They’re going for scale over premium experience,” Meaning, Meta’s betting on volume —aka,get enough people into VR, and the rest will follow (eventually).

(Source: Tech Radar) 

Additionally, Meta isn’t just eyeing VR dominance with this new technology either as the Quest 3S is also being pitched as a general computing platform. You know, because apparently, your laptop and gaming console aren’t enough. According to Meta, the 3S can handle multiple apps and videos at the same time (read: six screens at once), making it a potential all-in-one device.

(Source: Giphy) 

With that said though, the demo didn’t exactly knock anyone’s socks off. Sluggish app performance is a bit of a problem when you’re trying to convince people this thing can replace their other devices. So, while the ambition is there, the execution might need some work. See: Elons famous bulletproof Cybertruck demonstration for context. 

(Source: Giphy) 

On the other hand, Meta also had to throw in a glimpse of its new AR glasses that nobody asked for: The Orion AR Glasses. As they put on display at the convention, these prototypes are chunky, awkward, and look like something you’d find in a Spirit Halloween clearance bin. But they’re part of Meta’s long-term augmented reality vision. 

In fact, the glasses even use a wristband to detect neural signals, which sounds cool until you remember that these things won’t be available to the public for quite a while. So, while it’s neat to see what Meta’s cooking up, don’t hold your breath waiting for this new tech to add (or subtract) to share value anytime soon. 

(Source: Read Tovr) 

Especially considering that Dan Ives (always coming in clutch), estimates that Meta is still 3-5 years away from seeing any meaningful revenue from its hardware and metaverse investments. For instance, since acquiring Oculus in 2014, Meta has sunk over $65 billion into its VR and AR ambitions. That’s a lot of cash, and so far, the returns haven’t been exactly stellar. Reality Labs, Meta’s division responsible for all things metaverse, lost $13 billion in 2022.

(Source: Statistica) 

But, but, but… still, Meta has already sold over 15 million Quest headsets, so there’s clearly an audience. The question now is: Whether that audience will grow fast enough to justify all this spending.

Oh and before I forget, because it’s 2024, there’s an AI twist thrown in the mix. Meta announced some new AI upgrades for the Quest 3S, including voice interactions and celebrity voice options. So, if you’ve ever wanted to chat with Sydney Sweeney, now’s your chance. Whether or not that’s a selling point is up for debate.

(Source: Giphy) 

In the end though, here’s the takeaway to these new updates that Meta blessed us with yesterday: Big Zuck’s obsession with the metaverse has Wall Street divided. Some are all-in on Zuckerberg’s vision of blending the digital and physical worlds, while others think it’s a money pit.

Sure, Meta’s stock has rebounded 60% this year, but it’s still less than half of what it was at its 2021 peak. Meaning, investors are no doubt clutching their wallets waiting to see if the Quest 3S can bring in the masses and make this whole metaverse thing seem a little less… theoretical.

(Source: Giphy) 

Of course, only time will tell if this mixed reality actually goes as mainstream as Mark Zuckerburgs designer clothes, but at a price tag of $299, it definitely has a better shot than the Vision Pro… for now anyway. 

In the meantime, keep an eye on Meta as they roll out the Quest 3S come October 15th - and as always, stay safe and stay frosty, friends! Until next time… 

P.S. The alert we dropped yesterday has already popped +28.68%, and with a Cost to Borrow pushing 600%, this stock is about to crank it up another notch. If you’re thinking you missed your shot, think again—there’s still plenty of juice left in the orange. Don’t be the person “crying in da club” this time—get in on the second leg before it blows up even more.

Stocks.News holds positions in Meta and Apple as mentioned in the article.