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High-end virtual reality headsets from Facebook ( FB )-owned Oculus, HTC and Sony ( SNE ) will account for just 13% of unit shipments in the emerging market this year. But they’ll make up 77% of revenue spent on VR headsets in 2016, Strategy Analytics predicted Thursday. The research firm estimates that VR headsets will generate sales of $895 million worldwide this year. Most of the revenue will come from the recently launched Oculus Rift and HTC Vive, as well as this fall’s PlayStation VR, the firm said. But most of the 12.8 million VR headsets sold this year will be lower-priced devices in which a smartphone serves as the VR screen. Samsung’s Gear VR and Alphabet ’s ( GOOGL ) Google Cardboard are among these cheaper headsets. State-of-the-art virtual reality headsets tethered to PCs and game consoles will barely exceed 1.7 million devices shipped globally in 2016 due to high pricing, Strategy Analytics said in a research report. Smartphone-based VR systems can serve as an effective “gateway drug” to upsell users to higher quality VR experiences down the road, researchers said. VR could fuel a new “tech spec race” in high-end hardware in areas such as display resolution, graphics processing units, storage and 360-degree cameras, Cliff Raskind, director of Strategy Analytics’ wearable device ecosystems service, said in a statement. Video games will be an early driver for VR headset sales. Other applications include virtual experiences in entertainment and sports, marketing and product retailing, and education and training. “Further out still, it is envisioned that increasingly capable 3D cameras and apps will allow users to relive (play back) and share experiences to VR headsets with compelling realism,” Strategy Analytics said. Oculus Rift began shipping on March 28 and costs $599. HTC Vive went on sale Tuesday and costs $799. PlayStation VR will cost $399 and go on sale in October. Oculus Rift and HTC Vive require the use of a high-end PC and PlayStation VR needs to be coupled with the PlayStation 4 game console. Image provided by Shutterstock . RELATED: Virtual Reality Could Disappoint Initially, Baird Says Scalper1 News
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