Spielberg's New Sci-Fi Movie May Play Well With Chip InvestorsBy
Shareholders in Nvidia Corp. and Advanced Micro Devices Inc. may soon be cheering movie director Steven Spielberg.
Spielberg’s “Ready Player One,” set to open March 29, could drive sales of virtual reality headsets that require high-end graphics processors made by Nvidia and AMD, Jefferies LLC analyst Mark Lipacis said in a research note. The film depicts a dystopian society in the future where people escape into a virtual world called the OASIS.
International Data Corp. predicts that the market for virtual reality and augmented reality headsets will increase from an estimated 13.7 million units in 2017 to 81.2 million units by 2021. Sony Corp.’s Playstation VR uses a semi-custom chip from AMD, while HTC Corp.’s Vive and Facebook Inc.’s Oculus Rift specify Nvidia or AMD graphics processors that cost between $300 and $3,000, well above the average price, according to Lipacis.
— With assistance by Jeran Wittenstein