On Thursday, Meta Platforms announced that it will raise the prices of its virtual reality headsets in the United States, effective April 19, citing increased costs for memory chips as the driving factor.
The basic model, the Quest 3S with 128 gigabytes of storage, will see its price rise from $299.99 to $349.99. Meanwhile, the premium Quest 3 headset, which offers 512 gigabytes of storage, will experience a $100 increase, bringing its new price to $599.99.
Additionally, the 256-gigabyte version of the headset will now be available for $449.99, up from its previous price by $50.
This price adjustment is reflective of a broader trend, as demand for memory chips has surged due to the rapid expansion of artificial intelligence infrastructure by firms like OpenAI, Google, and Microsoft. These companies are prioritizing supplies for high-margin data centers, leading to tighter availability for consumer electronics.
In light of these supply constraints, other tech companies, including Dell, HP, and Microsoft, have also opted to raise prices on their products.
Last month, Sony similarly announced its second price increase for the PlayStation 5 consoles within a year, which included a $100 hike in the U.S. market, as the company faces rising costs for essential components.
Meta indicated that the new pricing would also apply to refurbished Quest units, while the cost of accessories will remain unchanged.
These recent pricing adjustments suggest a strategic shift by Meta, moving its focus from virtual reality towards artificial intelligence after significant investments in its metaverse initiatives through Reality Labs, the division tasked with developing Quest mixed-reality headsets and smart glasses.
Earlier this year, the company reduced its workforce by approximately 10% within the Reality Labs division and has also curtailed its VR platform, Horizon Worlds.
The metaverse initiative was a key factor in the company’s rebranding from Facebook in 2021, and since then, Reality Labs has reported over $70 billion in operating losses.
