Byte Dance swallows VR headset producer Pico4. September 2021
Byte Dance swallows VR headset producer Pico
Shanghai, Sept. 4, 2021
ByteDance has acquired VR headset manufacturer Pico for an undisclosed sum. Pico was the world’s third-largest VR headset manufacturer in the first quarter of 2021, with shipments up 44.7% year-on-year. It is rumored that Pico cost ByteDance $772 million.
Pico, which was founded in 2015, employs more than 300 people. ByteDance said Pico would help it enter the VR market, adding that the acquisition represents a “long-term investment in this emerging space.”
Global sales of VR headsets are expected to reach $28.6 million by 2025. ByteDance’s acquisition of Pico follows a trend of diversification away from social media.
In March, ByteDance had mobile gaming studio Moonton for $4 billion. These acquisitions have led to speculation that ByteDance is expanding into VR and VR gaming to compete with Facebook and Apple.
Apple acquired NextVR, a virtual reality company, last year and is reportedly working on developing its own VR headsets.