Consumer virtual reality (VR) might have been a buzz phrase in the tech scene for most of 2016, but it has failed to gain traction from investors heading into the New Year, according to a venture capitalist.
"I think 2017 will be what we call the winter of VR … especially from an investment standpoint," said Phil Chen, managing partner at Presence Capital, a venture capital fund that focuses on virtual reality start-ups.
Overexposure could be part of the reason why the VR bubble has burst (for the moment). 2016 saw the retail launches of highly-anticipated VR headsets, including Sony's PlayStation VR headset, Facebook's Oculus Rift and the HTC Vive.
Chen told CNBC's "Squawkbox" that "2016 was the peak of what consumers expected of virtual reality. But (the) figures have come out (and) whether it's the high-end HTC Vive (and) Oculus or the mid-end PlayStation, the sales have been quite lukewarm and the experience has been underwhelming."