Tencent has reportedly scrapped plans to launch its own VR hardware

Tencent has reportedly scrapped plans to launch its own virtual reality hardware.

According to Reuters sources, the move comes as the world’s largest video games publisher by revenue plans to cut jobs at its extended reality unit, which was formed in June 2022 and employs some 300 people.

The report claims Tencent had come up with a concept for a ring-like handheld game controller for its VR hardware.

However, one source said the company decided to change its strategy because of the significant investment required to compete in the market and the fact that it didn’t expect to turn a profit until 2027.

Another source claimed Tencent had failed to come up with a decent number of promising games other applications.

While Tencent denied that it was disbanding its extended reality unit, it told Reuters it was making some personnel changes following a shift in hardware development plans.

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