Facebook is Buying Virtual Reality Tech Startup Oculus VR for $2 Billion

From their $3 billion offer to SnapChat and acquisitions of Instagram and WhatsApp for crazy amounts of money, it would seem that Facebook is really trying to buy all the hot startups out there. Today, Facebook announced their acquisition of Oculus VR, a startup that is the current leader in im virtual technology for $2 billion.

According to a press release:

[The deal] includes $400 million in cash and 23.1 million shares of Facebook 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). The agreement also provides for an additional $300 million earn-out in cash and stock based on the achievement of certain milestones.

This is what Mark Zuckerberg, CEO of Facebook had to say:

“Mobile is the platform of today, and now we’re also getting ready for the platforms of tomorrow… Oculus has the chance to create the most social platform ever, and change the way we work, play and communicate.”

Brendan Iribe, co-founder and CEO of Oculus VR said:

“We are excited to work with Mark and the Facebook team to deliver the very best virtual reality platform in the world…We believe virtual reality will be heavily defined by social experiences that connect people in magical, new ways. It is a transformative and disruptive technology, that enables the world to experience the impossible, and it’s only just the beginning.”

Oculus VR’s headquarters will still remain in Irvine, CA, and will continue developing the Oculus Rift, a virtual reality headset for video games that raised $2,437,429 on Kickstarter.

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