Quest 3 Features Confirmed in First Hands-on

It seems Meta is looking to stoke some hype for its next Quest headset just days before Apple is slated to unveil its own, as Bloomberg’s Mark Gurman released Quest 3’s first hands-on, confirming a number of features from previous leaks in the process.

Gurman detailed a number of features in his hands-on with the upcoming mixed reality headset, saying that Quest 3 feels lighter and thinner than the Quest 2, featuring a stronger strap with fabric sides.

Like we’ve seen in previous renders, Quest 3 is said to feature three vertical “pill-shaped sensor areas” on the front of the device. On the left and right are color video pass-through sensors and standard cameras, while a depth sensor is placed in the middle, which is used for environment meshing and automatic identification of surrounding walls.

Tracking cameras are found on both left and right bottom sides of the device, departing from Quest 2’s four-sensor array placed on each corner of the headset. Sounds pretty similar to the image featured in a previous leak from Bradely Lynch.

Image courtesy Bradley Lynch

Quest 3 is said to come with a physical interpupillary distance (IPD) adjustment wheel next to the volume rocker which will allow users to dial in a finer IPD measurement. As a departure from its Quest Pro-esque feature set, Quest 3 is said to lack face and eye-tracking, which means none of the lauded ‘social presence’ features or foveated rendering.

Notably, Gurman says the actual clarity and VR displays within the Quest 3 feel “similar to those in the Quest 2 — despite the resolution being rumored to be slightly higher.” It seems Quest 3’s claim to fame will be its color mixed reality passthrough and faster performance thanks to a second-generation Qualcomm Snapdragon XR2.

“[V]ideo pass-through on the Quest 3 presented colors more accurately and offered an almost lifelike rendering of the real world. I was even able to use my phone while wearing the headset, something that often feels impossible on a Quest 2,” Gurman says.

There’s no mention of optics, or whether it will indeed use pancake lenses like Quest Pro or a Fresnel lens like Quest 2.

From Gurman’s description, it seems Touch controllers aren’t getting the Pro-level design either, as they appear to be optically tracked by the headset via IR markers à la Quest 2. It’s said to lack both Quest Pro’s embedded controller sensors and Quest 2’s hoop-style tracking design, which could be interesting.

Pricing for the Quest 3 isn’t finalized, however it’s expected to be higher than the Quest 2 at around $500. Meta is also expected to concurrently offer Quest 2, making for the widest headset lineup the company has ever offered at one time.

Gurman says Meta is set to target the cheaper headset segment while Apple targets the upscale market with its reported $3,000 mixed reality device. While Apple’s headset is expected to make its debut on June 5th, Gurman says Meta is bringing Quest 3 in October.

Meta to Host Quest Gaming Showcase Just Days Ahead of Rumored Apple Headset Announcement

Meta announced its third annual Quest Gaming Showcase is arriving next month, coming only a few days before Apple’s rumored XR headset announcement at Worldwide Developers Conference (WWDC).

Meta is livestreaming the Quest Gaming Showcase on June 1st, a bit unusual for the company, as it traditionally holds the annual event in late April.

Calling it their “biggest celebration of the depth and breadth of content across the Meta Quest Platform yet,” Meta is slated to share over 40 minutes of content, including a brand-new pre-show covering game updates and debut trailers, starting 15 minutes before the show begins.

Meta says to expect new game announcements, gameplay first-looks, updates to existing games, and more. There’s also set to be a post-show developer roundtable, which will feature conversation around upcoming games.

There could be at least one clue to what’s in store, as we get a brief glimpse at a horned helmet in the showcase’s promo video, which seems very much like Loki’s helmet from Rift exclusive Asgard’s Wrath (2019). Maybe Meta’s Sanzaru Games has slimmed down the Norse-inspired RPG?

Meanwhile, previous reports maintain Apple is finally set to unveil its long rumored mixed reality headset during the company’s WWDC keynote, taking place on Monday, June 5th.

Provided Apple indeed plans to announce its headset at WWDC, Meta could be looking to generate so called ‘strategic noise’ to better manage market reactions, and potentially offset any negative sentiment prior to Apple’s expected announcement—undoubtedly slated to be a pivotal moment for the entire XR industry.

Meta recently released its Q1 2023 earnings report, showing a consistent investment of around $4 billion per quarter into its XR division Reality Labs. With Apple rumored to be unveiling their own XR headset and a host of apps, reportedly set to include everything from fitness to VR/AR gaming, Meta may want to showcase where some of that investment is going.

Who knows? We may even hear more about Meta’s promised Quest 3 at the gaming showcase, which the company has confirmed will “fire up enthusiasts” when its released at some point this year, notably targeting a higher price point than its Quest 2 headset.

To find out, tune into the Quest Gaming Showcase on June 1st at 10AM PT (local time here), livestreamed across the company’s various channels, including TwitchFacebookYouTube, and in Meta Horizon Worlds.

Meta Reaffirms Commitment to Metaverse Vision, Has No Plans to Slow Billions in Reality Labs Investments

Meta announced its latest quarterly results, revealing that the company’s Reality Labs metaverse division is again reporting a loss of nearly $4 billion. The bright side? Meta’s still investing billions into XR, and it’s not showing any signs of stopping.

Meta revealed in its Q1 2023 financial results that its family of apps is now being used by over 3 billion people, an increase of 5% year-over-year, but its metaverse investments are still operating at heavy losses.

Reality Labs is responsible for R&D for its most forward-looking projects, including the Quest virtual reality headset platform, and its work in augmented reality and artificial intelligence. Meta CEO Mark Zuckerberg has warned shareholders in the past that Meta’s XR investments may not flourish until 2030.

Here’s a look at the related income losses and revenue for Reality Labs since it was formed as a distinct entity in Q4 2020:

Image created by Road to VR using data courtesy Meta

Meta reports Reality Labs generated $339 million in revenue during its first quarter of the year, a small fraction of the company’s 28.65 billion quarterly revenue. The bulk of that was generated from its family of apps—Facebook, Messenger, Instagram, and WhatsApp.

While the $3.99 billion loss may show the company is tightening its belt in contrast to Q4 2022, which was at an eye-watering $4.28 billion, Meta says we should still expect those losses to continue to increase year-over-year in 2023.

This follows the company’s second big round of layoffs, the most recent of which this month has affected VR teams at Reality Labs, Downpour Interactive (Onward) and Ready at Dawn (Lone Echo, Echo VR). The company says a third round is due to come in May, which will affect the company’s business groups.

Dubbed by Zuckerberg as the company’s “year of efficiency,” the Meta founder and chief said this during the earning call regarding the company’s layoffs:

“This has been a difficult process. But after this is done, I think we’re going to have a much more stable environment for our employees. For the rest of the year, I expect us to focus on improving our distributed work model, delivering AI tools to improve productivity, and removing unnecessary processes across the company.”

Beyond its investment in AI, Zuckerberg says the recent characterization claiming the company has somehow moved away from focusing on the metaverse is “not accurate.”

“We’ve been focusing on both AI and the metaverse for years now, and we will continue to focus on both,” Zuckerberg says, noting that breakthroughs in both areas are essentially shared, such as computer vision, procedurally generated virtual worlds, and its work on AR glasses.

Notably, Zuckerberg says the number of titles in the Quest store with at least $25 million in revenue has doubled since last year, with more than half of Quest daily actives now spend more than an hour using their device.

The company previously confirmed a Quest 3 headset is set to release this year, which is said to be slightly pricier than the $400 Quest 2 headset with features “designed to appeal to VR enthusiasts.”

Meta Quest Reportedly Had Over 6 Million Monthly Active Users as of October 2022

A Wall Street Journal report maintains Meta’s Quest platform had 6.37 million monthly active users as of October 2022.

The report doesn’t include a breakdown of which headset is seeing the most engagement, however it’s likely a majority of those users come from Quest 2. The original Quest, which was released in 2019, is currently on its way out. The company’s enthusiast-grade headset Quest Pro costs $1,000, a $500 drop from its original $1,500 launch price.

Meta hasn’t officially detailed just how many Quest headsets it’s sold since the company released the standalone in 2019, or its Quest 2 follow-up a year later for that matter, however a report by The Verge last month alleged the company has sold nearly 20 million Quest headsets. Although not confirmed, this figure likely includes all Quest headsets.

It’s nowhere near what traditional game consoles have achieved, however for VR it’s fairly impressive. For scale, Sony has shipped over 32 million PlayStation 5 units and over 117 million PS4 units to date; the PlayStation platform as a whole garnered 112 million monthly active users in Q3 2022.

For the still-nascent industry, Meta is far and ahead the leader of the space. Of its 500+ titles on the Meta Quest Store, 40 have grossed over $10 million in revenue. According to the Wall Street Journal, the Quest platform has now seen more than 200 apps make over $1 million as of February 2023, an increase of 44% from the previous year.

This comes alongside the news that Meta’s best-performing app, the block-slashing rhythm game Beat Saber, has generated over a quarter billion dollars in sales since launch in 2018.

Meta: 150 Titles In The Works With Oculus Publishing

Meta will continue using the Oculus name as part of its third-party VR games publishing program, now officially titled Oculus Publishing, with 150 games in active development.

Announced during GDC 2023, Oculus Publishing provides a new name for Meta’s existing efforts to work with developers on everything from conceptualization and funding to promotion of their projects. According to Meta, the company assisted with funding games like Among Us VR, Bonelab and Blade & Sorcery: Nomad, and Meta claims there’s “another 150 titles in active development today”.

“Over $1.5 billion has been spent on games and apps in the Meta Quest Store, with 40 titles grossing more than $10 million in revenue, and the number of titles making $20 million has doubled year over year,” according to Meta. You can read more in the official blog post.

It’s been nearly 18 months since Meta rebranded itself from Facebook and reduced the Oculus brand it acquired in 2014 to Meta’s Oculus Studios, which saw Oculus Quest 2 renamed Meta Quest 2 mid-lifecycle. At the time, Meta’s then-incoming CTO Andrew “Boz” Bosworth claimed they “want to make it clear that Quest is a Meta product,” offering reassurances that “the original Oculus vision remains deeply embedded in how Meta will continue to drive mass adoption for VR today.”

Meta never completely ditched the Oculus name — evidenced by its first-party development division Oculus Studios — but the new branding suggests the name may live on for quite some time. Following its protracted acquisition of Within (Supernatural), Oculus Studios now has an assortment of developers working on first-party content to bring to future headsets, including Beat Games (Beat Saber) and Armature Studio (Resident Evil 4 VR).

Meta Quest Gets Unreal Engine 5 Support Minus Two Headlining Features

Meta is transitioning its support from Unreal Engine 4 to Unreal Engine 5.1 for apps built for the Quest platform. Two of the engine’s headlining features aren’t designed for mobile though, so it’s doubtful we we’ll ever see them on Quest.

In a dev blog post announcing the news, Meta says developers who choose to work with Epic’s game engine should start thinking about using UE5 for their Quest apps. The company isn’t advising devs to upgrade to UE5 if in the middle of a project though; apps based on UE4 can still be distributed to the Meta Quest Store or App Lab.

Still, the clock is ticking. Meta will support critical bug fixes for UE4 until the end of 2023, although devs can access UE4 resources and documentation on Meta’s GitHub repository even after the support is scaled back.

As you’d imagine, Meta says the original 2019 Quest won’t be supported—it’s unceremoniously getting pushed off into the sea—however the company is slated to provide separate binaries for each device soon, which will allow developers targeting Quest 1 an upgrade path. Notably, OpenXR is the only VR API supported by Meta in UE5.

No Nanite or Lumen

Unfortunately, two of the biggest features of Epic’s latest and greatest aren’t coming to the company’s standalone headsets. Released in April 2022, UE5 packs in two new tools called Nanite and Lumen.

Nanite is a virtualized geometry system which uses a new internal mesh format and rendering technology to render pixel scale detail and high object counts.

It essentially works like a continuous Level of Detail (LOD) system that draws detail from the original ‘master’ 3D model. In its developer documentation, Epic Games says Nanite can increase an app’s geometry complexity, higher triangle and objects counts by “multiple orders of magnitude.”

Here’s a look at what Nanite can do for VR games, courtesy of YouTube channel ‘Smart Poly’:

Lumen, the engine’s new dynamic global lighting system, also makes virtual environments look better, as it can use both software and hardware ray tracing for more realistic lighting.

And why not on Quest 2 or Quest Pro? Nanite and Lumen simply aren’t built to work on mobile processors, and don’t support Android at all.

Nanite is currently supported on a host of devices, including PS5, Xbox Series S|X, and PCs with even the most-humble of Maxwell-generation graphics cards. PS4 and Xbox One also support Nanite, albeit experimentally.

Lumen on the other hand is developed for PS5 and Xbox Series S|X, and high-end PCs. Software ray tracing can be done on NVIDIA GeForce GTX-1070 or higher cards, while hardware ray tracing must be on NVIDIA RTX-2000 series or higher, or AMD RX-6000 series or higher. Not even PS4 or Xbox One.

Moreover, Epic says in Lumen’s documentation that there are “no plans to develop a dynamic global illumination system for the mobile renderer. Games using dynamic lighting need to use unshadowed Sky Light on mobile.”

Without direct support from Epic, Meta has little other choice. Granted, many VR creators opt to develop in Unity thanks to its relative simplicity for smaller teams and greater overall market share, meaning more assets and general know-how to go around.

PSVR 2 vs. Meta Quest 2

To help you decide which headset is right for you, we've pitted the PSVR 2 and Meta Quest 2 against each other to see how they stack up in key categories.

Meta Re-lowers Quest 2 Price & Drops Quest Pro to $1,000

Meta today announced it’s lowering the price of the 256GB version of Quest 2 as well as its more recent enthusiast-grade standalone, Meta Quest Pro.

Meta initially launched a 64GB and 256GB variants of Quest 2 in late 2020 for $300 and $400 respectively. A 128GB version was introduced in 2021, which replaced the 64GB version. To stave off rising costs, the company announced in July 2022 that it was raising the price of Quest 2 128GB and 256GB variants to $400 and $500 respectively.

Starting March 5th, Meta is now again restructuring its Quest 2 pricing by bringing the 256GB Meta Quest 2 from its current price of $500 to $430. Notably, the 128GB version of Quest 2 is staying at the same $400 price point.

Quest 2 (left), Quest Pro (right) | Photo by Road to VR

Meta Quest Pro is also seeing a price reduction on March 5th, bringing it from its $1,500 launch price to $1,000.

Meta says in a blogpost that pricing changes to Meta Quest 2 (256GB) will also update across Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Iceland, Italy, Japan, Netherlands, Norway, South Korea, Spain, Sweden, Switzerland, Taiwan, and the UK.

Quest Pro’s price will take effect US and Canada on March 5th, and March 15th in all of the other countries mentioned above.

The news of the Quest 2 and Quest Pro price change comes days after a report dropped from The Verge citing an internal memo on the company’s future roadmap.

Meta is said to have several headsets slated to release in the coming years, including a Quest 3 priced slightly above the current model, set for release in 2023, and a cheaper headset targeted at consumers in 2024, codenamed ‘Ventura’.

A Quest Pro successor is also planned, but may come “way out in the future” after Ventura is released in 2024, the report maintained. Meanwhile, the company has sold 20 million Quest 2 headsets, however user retention has been a battle.

Provided the report is true, it seems the company is shaking up its pricing tiers to better entice Quest 2-owning enthusiasts into Quest Pro before it drops the more powerful Quest 3 later this year. Making the Quest 2 more accessible now will also make the “slightly more expensive” Quest 3 appear more attractive to users looking to upgrade then, and not now to the Quest Pro.


What are your thoughts on the new pricing strategy? Let us know in the comments below!