Facebook will soon be testing ads on its Oculus VR headsets, marking the end of an ad-free era in VR. Facebook had already started placing ads on its Oculus mobile app in May. The VR ads will appear in the shooter game “Blaston” and two other unnamed Oculus apps in the coming weeks. Developers will be able to insert billboards directly into app environments. Luckily, users will be able to manage what ads they want to see, with the ability to hide specific ads or completely conceal themselves from an advertiser. The company plans to target ads based only on Facebook profiles, app installations, user wishlists, and ad clicks within third-party apps and has stated that they will not be incorporating user tracking or movement data.
Zoom In: Of course, this move is not unexpected. Facebook generates over 97% of its revenue from ads, and in this case, VR app developers will receive a portion of the revenue generated from the ads. Facebook believes this will enable a more “self-sustaining platform” for VR development. The community feedback to the news has been mostly negative, with users already having a strong dislike for the Facebook login requirement for Quest 2 headsets.