Facebook Oculus $2 billion deal closed

Facebook Oculus $2 billion deal closedBack in March Facebook announced one of its biggest acquisitions yet, the Virtual Reality Headset maker, Oculus. Today, the 4 month old deal is finally closed by Facebook.

The deal has received approval from FCC’s anti-trust commission, regulators and now has passed California’s Department of Corporation fairness hearing. After everything, the deal amounted to just over $2 billion.

According to the deal, Oculus received $400 million in cash and the rest $1.6 billion in Facebook stocks. Further, if the company manages to achieve certain milestones, Facebook will pay them an additional $300 million in cash along with other stock benefits.

For now, Oculus will work independently and will operate from its main offices in Irvine and Los Angeles.

“We’re looking forward to an exciting future together, building the next computing platform and reimagining the way people communicate,” Facebook and Oculus said in a joint statement Monday.

Oculus started off with a kickstarter project a few years back to ship prototype to developers. Over the past few years, the company has upgraded the camera and the sensors inside the device to make it much refined and improved. In fact, the latest Oculus Rift version has received positive response from a number of experts.

During the official announcement just after the acquisition, Facebook CEO said that Oculus will continue with its big plans for the future and Facebook will try to accelerate the growth.

Although Oculus is focusing on the gaming platform for now, the company plans to expand its application to many other areas like healthcare and education.

“After games, we’re going to make Oculus a platform for many other experiences. Imagine enjoying a court side seat at a game, studying in a classroom of students and teachers all over the world or consulting with a doctor face-to-face — just by putting on goggles in your home.” said Zuckerberg in a post in March.

In the last few years, the company has acquired several known experts to help them achieve this feat.

Virtual Reality is a relatively new industry, but there are already several key players in the market. Sony’s Project Morpheus is probably the biggest Oculus Rift competitor as of now, and there are other major companies like Samsung and Razer who are planning to enter this industry.

Unfortunately, Facebook and Oculus have not yet given a date for the market release of Oculus Rift and we’ll probably have to wait for a few more months until the Oculus Connect Developer’s Conference kicks off in September this year.

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About the author

Joel is an experienced blogger who covers all kinds of news relating to tech. He is a huge fan of Android and can be seen playing around with his phone in his spare time.