I think the index is even more impressive when you consider that it goes up to 144hz and manages to pack in an extra 15 or so degrees FoV... clearly from that demo the G2 has stellar image quality but the index isn't miles behind considering its other advantages. If the prices were closer it would be a very hard decision!
If the Index as a full kit was £600 it'd be a no-brainer. Clean enough, wider FOV, better controllers, etc. But I can't justify £915 or whatever it is, for better controllers and improved tracking. I'd rather put that difference into a 3070 Super/Ti/Whatever later in the year or early next instead. I bet the Index will be better supported and likely will better hold value too, but the G2 hits my price point and just seems a bit more future proofed than the Rift S. Now if this new Quest leak turned into an Index/G2 competitor wired, with the bonus of wireless, that might change things, but I suspect it's too soon for anything more than optimisations to the current headset.
Agree, the Rift S is still a good headset, better controllers, and for everything but Sim Racing it's probably a better choice than the G2. Part of me still thinks it should be my first headset, but I'd end up wanting to upgrade to better and that's not an easy sell to the wife.
It also does feel like Oculus are focusing on the wireless, PC-less market, which could be huge - it's taken me so long to get into VR because I left PC 15 years ago and only came back last month, mostly for my teenage son. Now I'm back, I am hooked on sim racing.