Facebook announced this afternoon that it would purchase VR headset maker Oculus for $2 billion with a combination of cash and stock. The company will pay $400 million in cash and 23.1 million shares worth about $1.6 billion. Oculus employees will also eligible for an additional $300 million if the company achieves certain targets.
"This is a long-term bet on the future of computing," said Facebook Chief Executive Mark Zuckerberg Tuesday on a call with analysts. "I believe Oculus can be one of the platforms of the future."
Zuckerberg went on to say that the company will extend the technology beyond gaming to be used with other computing applications. He intends to let Oculus continue with its roadmap of development but his company will help out with recruiting, marketing, infrastructure and opening doors to new partnerships. Ultimately he wants the hardware to be affordable and does not expect to make a profit off it. Instead he sees money in related services, software, advertising, virtual goods and other areas.