Facebook trials ads in virtual actuality headsets

 Facebook trials ads in virtual actuality headsets

Some investigation are forecost a retaliation

Facebook has started showing ads in its Oculus virtual actuality headsets, despite the founder of the platform saying it would never do so.

In what the social network described as a test. Ads will start to appear in a game called Balston with other developers rolling out the same ads.

It said it would listen to feedback before begin virtual actuality ads more broadly.

It also revealed it is testing new ad formats “that are unique to VR”.

In 2017, shortly after Facebook bought Oculus. Creator Palmer Luckey told the Next Web: “We are not going to track you, flash ads at you, or do anything invasive.”

But in a blog on Oculus’s website, the firm said: “We’re exploring new ways for developers to create income. This is a key part of ensuring we’re creating a self-support platform that can support a variety of business models that unlock new types of content and audiences.”

Users will be able to hide certain ads or those from a certain advertiser and Facebook promised that its privacy policy would remain the same.

“Facebook will get new information, like whether you interacted with an ad, and if so, how… for example, if you clicked on the ad for more information or if you hid the ad.”

It encourages customers to share their feedback via the Oculus support page.

Barrier to adoption?

Last month the firm start testing ads in the Oculus mobile app.

Leo Gebbie, an analyst with CCS Insight, said the move was unsurprising.

“finally Facebook is built on advertising earning and if there was an assumption. That it wouldn’t build it out into virtual reality, then that is a little naive.”

Oculus Quest 2 headsets start at £299, and in the US are also offered for $299.And that price means it is being sold at “incredibly low or even loss-leading margins,” said Mr. Gebbie.

This could mean Facebook becomes the controlling player, as others are unable to compete.

“The long-term goal is for Oculus to be a platform for virtual reality and increase reality, with Facebook keen to get as many people as possible using it,” he said.

But, he noted, there would likely be a reaction against ads on the headset.

“Facebook doesn’t have the best track record on privacy and there is a concern that it will continue to push the boundaries and creep towards something that is invasive.”

Piers Harding-Rolls, research director of games at Ampere Analysis, said VR offered a big chance for the tech firms.

“If people are expending more time using this technology, those that control the online advertising opportunity – plus Facebook and Google – want to be well-placed to take the edge of any shift in buyer habits, so that they can follow the audience with their advertising networks.”

But they needed to be careful about position advertising with a good user experience, he alert.

Web Desk

Related post