The technology company has halted development of the cameras

virtual reality cameras

Credit: Nokia

Nokia has announced it will reduce investment into virtual reality cameras, citing that the market growth was slower than expected.

This announcement means that the company will halt the development of new versions of their virtual reality cameras – the OZO, the OZO+ and its various hardware updates.

The cuts are expected to affect up to 310 employees of Nokia Technologies who are mostly based in Finland, the US and the UK. Nokia Technologies currently employ 1,090 people so this will result in a loss of almost a third of their staff.

The company are looking to redirect their investment into focusing on ‘growing brand and technology licensing while leaving its successful patent licensing business untouched.’ They will also focus on their digital health portfolio, after acquiring consumer electrics company Withings in 2016.

President of Nokia Technologies Gregory Lee said: “Nokia Technologies is at a point where, with the right focus and investments, we can meaningfully grow our footprint in the digital health market, and we must seize that opportunity.”

The Nokia OZO was marketed toward professional virtual reality videographers, Credit: Nokia

Nokia made the announcement at the same time that other companies are making their cameras more compatible with VR and 360-degree filming. For example, GoPro recently announced their 360-degree video camera, Fusion.

When it was first released in 2015, the OZO camera was aimed at professionals making content in the virtual reality segment with a high-end introductory price of 55,000 euros.

In April 2017, Nokia announced its follow up, the OZO+, to join a line up of product accessories like OZO creator, OZO Live and OZO Deliver.

Nokia also announced that it would retain its commitments to its existing customers.

Let us know what you think in the comments below. Have you used the Nokia OZO? Do you think the growth of virtual reality cameras is overrated?