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It's a weird situation because from a competition point of view I don't think Facebook doing this makes either Facebook or Oculus particularly more dominant. It
by zmmmmm 6y ago
It's a weird situation because from a competition point of view I don't think Facebook doing this makes either Facebook or Oculus particularly more dominant. It's actually a negative for the VR offering. At best one can say, would another social network have a chance to compete with Facebook on Oculus when the user is already linked via their Facebook account? Probably its harder but quantitatively very hard to prove.
In reality the competition concerns are secondary to what is really a consumer rights issue: people are buying a good that can be rendered functionality inoperable at any time in the future by completely unrelated actions pertaining to their Facebook account. This doesn't just apply to the headset but possibly hundreds of dollars of apps they have bought.
I don't know how this gets resolved at the moment when the only regulatory mechanism to enforce it is competition law where the concerns are minor (at least for now).