Virtual reality (VR) headsets offer users an immersive experience by transporting them into simulated 3D environments. These devices, powered by advanced VR technology, track users’ head movements and use visual, auditory, and haptic feedback to create realistic sensations. As VR technology rapidly advances and becomes more affordable, VR headsets are gaining popularity among consumers.
The global VR headset market is projected to experience substantial growth in the coming years, driven by the availability of affordable devices and the expansion of use cases beyond gaming. Many tech companies are introducing budget-friendly VR headsets to tap into this growing market. In addition to gaming, VR hardware is being developed for applications in training and simulation, healthcare, real estate, retail, and more. As VR headset prices continue to decline, these immersive virtual reality experiences will become accessible to mainstream users who are seeking innovative solutions for work, learning, and entertainment.
Current State of VR Headsets Market: Trends and Competition
The VR headset market has witnessed significant growth due to falling prices, technological advancements, and more immersive experiences. However, the industry still faces several challenges. Here are the key takeaways:
1. VR headset market size
The total value of the virtual reality headset market was approximately $7 billion in 2021 and is expected to reach $21 billion by 2025, growing at a compound annual growth rate (CAGR) of 25.5%. Despite this growth, the market is still considered niche, with only a few million units sold annually. Low adoption rates indicate substantial room for expansion if affordability and content-related issues can be addressed.
2. Low Price VR Headsets
The prices of VR headsets have significantly decreased in recent years. Budget VR headsets priced under $200 have contributed to increased adoption, particularly in the mobile-based headset segment, such as Google Cardboard and more affordable Windows VR devices. In 2023, we anticipate the release of semi-wired and wireless VR headsets in the $100-$300 range by companies like Oculus, HTC, and Sony. These falling prices have made VR accessible to the mass market, not just early adopters.
3. Gaming Remains KeyUse Case
Gaming continues to dominate the VR headset market, with the majority of high-end headset sales driven by gaming titles from Oculus, HTC, and Valve. Standalone headsets specifically designed for gaming, like the Oculus Quest, have seen great success. In 2023 and beyond, we anticipate the release of more high-end VR headsets by companies like Sony, Valve, and others, focusing on gaming applications.
4. VR Headset Competition
The VR headset market remains consolidated, with only a few major players. Facebook’s Oculus unit, particularly its affordable standalone Quest products, dominates the industry. HTC, Sony, and other companies compete in the higher-end tethered VR space. In 2023, we may witness the entry of Chinese companies like Xiaomi and Huawei with affordable VR devices. However, the lack of compelling content could hinder the adoption of new entrants.
5. Virtual Reality Content
Despite the growth of VR hardware, the lack of compelling content remains one of the most significant barriers to mainstream adoption. There is a scarcity of “must-have” VR programs and applications beyond gaming that can convince casual users of the essentiality of owning a VR headset. In 2023, we anticipate significant investments from tech firms to create more immersive VR/AR applications for entertainment, social media, education, and other sectors. Such content development will be crucial for the next phase of growth.
While the VR headset market is expanding, it still faces challenges related to affordability, content availability, and the need for broader use cases beyond gaming. Falling prices, advancements in technology, and increased content development are expected to drive further growth in the VR headset market. As virtual reality becomes more mainstream, we can anticipate the emergence of innovative applications that revolutionize various industries and transform the way we work, learn, and interact in the digital realm.
Selection Criteria: Factors to evaluate headsets
When shopping for a VR headset, there are many factors to consider to find the right option for your needs and budget. Essential criteria include price, performance, comfort, features, and device compatibility.
1. Price
Affordable VR headset options start at around $200-$300, while high-end models can go up to $1,000 or more. Consider your budget and how much you’re willing to spend for the desired performance and quality. Entry-level VR headsets typically offer the lowest price point but have lower resolution, refresh rates, and less advanced features. However, these options can still provide an immersive virtual reality experience, especially for casual gaming.
Mid-range VR headsets in the $400-$600 range offer improved resolution, refresh rate, and improved processing. They provide a clearer and smoother VR experience while still being reasonably priced. High-end VR headsets have the highest resolution and visual clarity, faster refresh rates, more comfortable designs, and advanced integrated features. However, these premium options come at a significantly higher price.
2. Performance
Factors that impact VR headset performance include:
•Resolution – Measured in pixels per inch (PPI), the higher resolution provides sharper graphics and text. Look for at least 1000 to 1400 PPI for an immersive VR experience.
•Refresh rate – Measured in Hertz (Hz), a higher refresh rate provides a smoother visual experience and reduces motion sickness. Aim for 90Hz or higher.
•Field of view (FOV) – The more comprehensive the field of view, the more immersed you’ll feel. 110 to 140 degrees is ideal.
•Latency – The time it takes for the display to update based on your head movements. Look for low latency, under 20 milliseconds.
•Processing – More powerful integrated or compatible processors provide better graphics and performance.
3. Comfort
An uncomfortable VR headset can ruin the experience, so consider headband and face pad designs that evenly distribute weight and reduce pressure points. Look for features like adjustable straps, lightweight materials, and options for prescription lens inserts. Some have built-in fans for cooling.
4. Compatibility
Check compatibility with your PC, gaming console, and smartphone. Many headsets require a minimum recommended processor and graphics card to run optimally. Some VR headsets are all-in-one systems with integrated audio, battery, and storage that connect directly to your phone via USB or Bluetooth. Others rely on being tethered to a PC or console.
Features
Advanced features to consider include:
• Integrated headphones – Built-in headphones provide a more seamless experience and don’t require additional earbuds or headsets. Audio quality and noise isolation vary.
• Spatial sound – Some headsets provide 3D spatial sound that tracks your head movements to match the sound’s location in the virtual world. This enhances immersion.
• Hand or eye tracking – Some high-end models offer eye tracking to enable new interactive functions and eye-based menus. Others have hand tracking for a more realistic VR experience.
• Positional tracking – Inside-out tracking uses integrated cameras to track your head movements without needing external sensors. Outside-in tracking requires external sensors for more accurate positional tracking.
• Sharable content – Some systems allow sharing VR content and playing multiplayer games with others with the same headset.
• Compatibility with apps and software – Consider the available VR apps, games and software that work with the headset. More comprehensive compatibility options provide more functionality and options.
• Screen sharing – Some headsets allow screen sharing to stream your VR view to an external display for others to watch.
• Adjustable IPD – The interpupillary distance (IPD) should match the distance between a person’s eyes for a clear VR view.
• Resolution per eye – Higher resolution displays provide clearer visuals for each eye, improving the realism of the VR experience.
• Controllers – Controller options, comfort, ergonomics, and ability to track hand movements impact interaction within VR environments.
Top 5 Best VR Headsets At Low Prices 2023
Thanks to dropping prices for virtual reality headsets, VR is becoming more accessible to the masses, which should help further the development of VR applications and games. The democratization of VR means many VR headsets are now available at affordable prices. Five budget VR headsets worth considering are:
1. Meta Quest 2
The Meta Quest 2 VR headset provides an immersive and frictionless virtual reality experience through its high-speed processor, high-resolution display, and integrated spatial audio. Sporting a wireless design, the Meta Quest 2 allows untethered movement within virtual environments without needing a PC or console.
The wireless headset offers an impressive lineup of over 250 VR games, apps, and experiences spanning genres like gaming, fitness, social, entertainment, and more. Users can explore fantasy worlds, enjoy horror adventures, collaborate with others in virtual workspaces, join multiplayer arenas, attend live events with friends, and partake in innovative VR fitness programs.
Pros:
•Fully wireless and untethered VR experience
• High-performance processor and display provide smooth graphics and motion
•Integrated 3D spatial audio and haptic feedback enhance immersion
•Growing catalogue of VR apps and games covering a wide range of interests
Cons:
•Limited battery life requiring periodic charging
•Possible discomfort over extended use
•Potential motion sickness for some users
2. Google Cardboard POP!
The MR.CARDBOARD virtual reality headset provides an affordable and easy-to-use VR experience for smartphones. Made in Germany with high-quality materials, the MR.CARDBOARD fits all phone sizes and can be assembled in under 30 seconds. With a cutout for the phone’s camera, it is also ready to use for augmented reality apps.
The simple strap design ensures a comfortable fit, and the lenses provide a sharp VR experience. In tests, c’t magazine found that the image quality and sharpness were better than the original Google Cardboard. Being sweatproof makes it suitable for more intensive VR usage.
Pros:
• High-quality German engineering and design
•Fits all smartphone sizes
•Easy assembly
•Supports both VR and AR
•Provides sharp and clear VR experience
Cons:
•Basic strap may not suit all head shapes and sizes
•Limited adjustment options
•Battery cover of the smartphone may interfere with the fit
3. PlayStation VR2
The upcoming PlayStation VR2 headset promises to deliver a gaming experience far beyond the original PSVR through cutting-edge technology and advanced features. With 4K HDR visuals, a 110-degree field of view, and enhanced graphical rendering, the VR2 provides stunningly sharp and immersive virtual reality.
The VR2’s innovative Sense technology utilizes eye tracking, headset feedback, and 3D audio to deliver an incredibly intuitive experience. Haptic feedback, adaptive triggers, and finger touch detection provide highly responsive controls that mimic the real world.
Pros:
• Sharp 4K HDR visuals and 110-degree field of view
•Enhanced graphics rendering for realistic VR
•Eye tracking and 3D audio for immersion
•Highly responsive controls with haptic feedback and adaptive triggers
•Cutting-edge performance
Cons:
• Potentially causes simulator sickness for some
• Wired headset (versus wireless)
4. Atlasonix VR Headset
The Atlasonix VR headset provides an affordable and comfortable virtual reality smartphone experience. The headset works with phones ranging from 4 to 6.3 inches and features HD optimization, 3D gaming support, and focal distance adjustments to enhance the visual experience.
The fully adjustable head strap, soft nose piece, and eyesight protection system work together to provide a comfortable and extended wear design. Users can easily adjust the focus and alignment to match their eyesight needs. The removable remote allows users to control their Android phone without taking the headset off.
Pros:
• Compatible with a wide range of smartphones
• Enhanced 3D visuals with focal distance and alignment adjustments
• Comfortable and extended wear design with soft padding
• Includes remote control for Android phones
• Affordable price
Cons:
• Limited adjustability options
• Only compatible with Android phones
• Strap may become uncomfortable after extended use
5. Nintendo Labo Toy-Con 04
The Nintendo Labo Toy-Con 04 VR Kit provides a fun and creative entry point into virtual reality through its innovative blend of cardboard crafting and VR experiences for the Nintendo Switch. Players craft a variety of VR goggles attachments out of sturdy cardboard, including a blaster, camera, bird, and elephant, each corresponding to a VR experience on the Switch.
While the kit offers kids an entertaining and enriching experience through crafting and imaginative VR playsets, VR is essential. Being a Nokia Switch accessory, the VR kit can only provide the exact resolution and refresh rate as the Switch’s screen. As a result, individual pixels are visible, and motion may not be completely smooth. Additionally, the goggles require one hand to hold them up, causing fatigue on longer play sessions due to the lack of a proper head strap.
Pros:
• Provides a fun and creative entry point into VR through crafting
• Each cardboard VR attachment corresponds to a unique VR experience
• Suitable for enriching children’s play and imagination
Cons:
• Basic VR resolution and performance due to the use of the Switch screen
• Individual pixels are visible, and motion may not be completely smooth
Comparison and Rankings
Based on value for the price, ranking the headsets is as follows:
Atlasonix VR Headset: For its affordable price, the Atlasonix VR headset provides several valuable features like smartphone compatibility, 3D focal adjustment, and essential remote control. While the quality and adjustability are limited, it offers good value for a budget VR headset.
According to reviews, the Google Cardboard POP clone costs far less than most VR headsets while still providing a sharp VR experience. The high-quality design and compatibility with many phones make it a decent value.
Nintendo Labo Toy-Con 04 VR Kit: Though the actual VR experience is essential, the innovative crafting and interactions provide a unique and enriching experience for kids at a reasonable price point. For its intended purpose, it offers good value.
Meta Quest 2: Though more expensive, the Meta Quest 2 justifies its price through a genuinely immersive and high-fidelity untethered VR experience enabled by its fast processor, high-resolution display, and extensive app selection. However, for many, the cost may still seem high relative to the value.
PlayStation VR2 – Due to its expensive price point and limited details currently available, the PlayStation VR2 seems unlikely to offer the best value for its future cost compared to the other options. However, its advanced technological capabilities and cutting-edge VR experience may justify the price for some.
In summary, budget VR headsets options like the Atlasonix and Google Cardboard clones generally offer the best value for their affordable prices. In contrast, higher-end standalone and console-based headsets have a more challenging time justifying their significantly higher costs relative to the VR experience provided.
Budget VR Headset Accessories
Here are some cost-effective accessories for budget VR headsets:
•Head Strap – The ability to secure the VR headset to your head will significantly improve comfort and reduce fatigue during extended use. Basic adjustable velcro or elastic head straps are available for just a few dollars.
•Lens Covers – Lens covers that attach over the VR lenses help keep them clean and scratch-free. Look for microfiber lens covers for around $5.
•VR Controller – While not needed for all VR content, a primary Bluetooth controller can enhance the experience of VR games that support it. Options for under $20 provide good value.
•Lens Spacers – For those requiring VR glasses, affordable lens spacers help provide room for glasses within the headset. Options are available for less than $10.
•Battery Pack – An external battery pack can extend play time before recharging for VR headsets without built-in batteries. Inexpensive battery packs starting at around $10 can work well.
•VR Cover – Replacement foam or silicone interface covers help clean the lenses and provide a more hygienic surface. Covers ranging from $15 to $30 offer decent value.
Future Outlook and Emerging Technologies
Wireless and standalone VR headsets are expected to continue growing in popularity. Options with improved performance, resolution, and other features will likely emerge. These self-contained headsets will likely remain the mainstream for the foreseeable future.
Eye tracking and higher resolutions will improve the VR experience. Eye tracking will enable more realistic interactions, while resolutions approaching and exceeding 4K per eye will provide clearer visuals. Larger field-of-view headsets up to 220 degrees will provide an encompassing environment. Foldable and mixed reality headsets may also offer new form factors and experiences.
Full body tracking beyond just hands and potential brain-computer interfaces still in early research could revolutionize VR further in the long term. Though further off, this type of body and thought-based interaction has the potential to increase presence and realism in virtual worlds radically. Meanwhile, incremental but meaningful advances in resolution, field of view, and eye tracking will continue to push VR forward.
Conclusion
Consider affordable yet capable options like the Atlasonix and Google Cardboard clones for those just beginning to explore virtual reality. With enhancements emerging and VR continuing to progress, now is a great time for newcomers to enter this exciting space cost-effectively. Explore the affordable options, utilizing accessories to get the most out of their lower-cost headset. With a quality budget VR solution, you can begin your journey into the virtual world while staying mindful of costs.
