Oculus Rift

Looks a bit of a faff to setup but that's only a good thing that the Rift is more than capable of room scale (almost) out of the box.
 
I dont see how it can be considered a flop when they cannot make them quick enough to meet demand.

How accountants of a company such as facebook balance the books is hardly a reflection of a single product line.
 
CraigN said:
I dont see how it can be considered a flop when they cannot make them quick enough to meet demand.

How accountants of a company such as facebook balance the books is hardly a reflection of a single product line.
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What do accountants have to do with this situation? If they had sold (sold, not made), say, just 50k extra units during Q1 2016 compared to Q4 2015, that would be reflected by an increase of 30m in 'Payments and other fees revenue'. Instead, 'Payments and other fees revenue' decreased by ~20m compared to Q4 2015.

It doesn't matter how fast they make them, the revenue from Oculus is not growing. If a significant revenue increase in 'Payments and other fees revenue' does not happen in the Q2 report, Oculus will definitely be a (financial) flop.
 
because what you based that comment on is a line item that accountants made up.

'Payments and other fees revenue'

Yes the cost of sales of oculus units might come under that but you have no idea what else it contains. Especially as all those figures are in thousands of millions. £30m is nothing in this figure.

Oculus is going be loss making for some time due the huge R&D cost of it, most likely years.

They are also not billing customers until units ship, i have not yet been billed for mine that i ordered on launch day.
 
CraigN said:
because what you based that comment on is a line item that accountants made up.

'Payments and other fees revenue'

Yes the cost of sales of oculus units might come under that but you have no idea what else it contains. Especially as all those figures are in thousands of millions. £30m is nothing in this figure.

Oculus is going be loss making for some time due the huge R&D cost of it, most likely years.

They are also not billing customers until units ship, i have not yet been billed for mine that i ordered on launch day.
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Payments and other fees - $181 millions (not thousands of millions) which is 20% lower than last year's $226m. And 30m would be roughly 16%, a significant percentage..

I'm not talking about profits, I'm talking about revenue, which is the cash they receive from people who actually buy the set.

As for billing, if what you say is true then there should be an increase in revenue in Q2. I suppose we'll find out in July how Oculus is really doing.
 
It's not "if" what he says is true, it simply is true - they only charge just before they ship as they process the order. Given the shipping delays that means very little from the CV1 orders will have made it into the Q1 figures.

However, even if they do bring in significantly more revenue in Q2 (which they almost certainly will logically speaking) it says nothing as to how profitable they are of course. Would they be deemed a flop with a large revenue but no profit? I guess that depends on your point of view! They have stated numerous times, whether one believes it or not aside, that they make very little on hardware and plan to make money on the software side - i.e. sales through oculus home. How well that pans out remains to be seen...

Whatever way you cut it though, it's fairly clear that Zuckerberg et al have a longer term vision for this project... Facebook has deep pockets and for as long as the important people keep believing in the big picture I don't think oculus has anything to worry about from a financial standpoint.
 
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your grasp of corporate finances is off.

you are looking at one revenue stream and taking into account no costs.

the R&D line item was some thing like $1,300m.

if i assume (like you have) that that entire line item was Oculus development then its going to be a massive loss for many years.

is that accurate? no because we haven't factored in things like production costs or marketing etc
 
someone up there is toying with me...

Rift is finally out for delivery, but it's an afternoon slot and I am working lates today so will probably miss it. I could release it to be left without signature on UPS my choice but I think that's probably a bad idea for something of this value and scarcity :(

Oh woe is me! lol
 
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siege2 said:
get them to deliver alternative day like tomorrow !
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Same problem tomorrow, working lates lol. Seems UPS always comes to my area late afternoon so it's just bad timing with the bank holidays in Holland and UK and then my late shift week. I got a bit excited when I got the processing email on weds last week thinking i'd soon be strapping on my rift lol.

Anyway, hasn't arrived yet and I'm off out to work soon - I can't quite bring myself to authorise it to be left without signature so might have to wait a couple more days. Oh well, c'est la vie :(
 
Zeeflyboy said:
Same problem tomorrow, working lates lol. Seems UPS always comes to my area late afternoon so it's just bad timing with the bank holidays in Holland and UK and then my late shift week. I got a bit excited when I got the processing email on weds last week thinking i'd soon be strapping on my rift lol.

Anyway, hasn't arrived yet and I'm off out to work soon - I can't quite bring myself to authorise it to be left without signature so might have to wait a couple more days. Oh well, c'est la vie :(
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Mine order is due on 30 May to 9 June, so working on what other people have getting there emails I Hope I am getting a despatch notice this week at the latest . Put a big smile on my face If I do..
 
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