Facebook Buys Oculus for $2 Billion

Sees future in virtual reality headset

Facebook has just announced a $2 billion deal to buy Oculus VR, the immersive virtual reality headset maker. In the announcement, CEO Mark Zuckerberg reiterated his company's mobile-first focus while stating that the Oculus headset sets the stage for the future of entertainment and communications.

The Irvine, Calif.-based company's Oculus Rift headset covers the eyes of users and plants them in a virtual reality world in which they can play games, watch movies and interact in new ways. It made considerable buzz at South by Southwest Interactive earlier this month.

"Oculus has the chance to create the most social platform ever, and change the way we work, play and communicate," Zuckerberg said in a press release.

In 2012, Oculus raised $2.5 million in a campaign on Kickstarter, the crowdfunding website that allows tinkerers to raise money from the masses if their ideas catch fire, which the Rift did. Ten thousand Kickstarter members supported the project.

Last year, the company raised $75 million in a fundraising round led by Mark Andreessen and raised more than $90 million total from venture capital.

This is Facebook’s third acquisition of more than $1 billion, including Instagram in 2012 for $1 billion and WhatsApp earlier this year for $19 billion.