Sony is joining the race for virtual-reality (VR) dominance today with the US$399 PlayStation VR, a headset the company hopes will beat pricier rivals. The PlayStation VR headset will have to compete with Facebook's US$599 Oculus Rift and HTC?s US$799 Vive.

Since the headset is designed to plug into PlayStation 4, rather than requiring new equipment or a powerful PC like other VR headset do. Sony hopes to lure in customers with its more modest price tag and by tapping the 40 million existing users of its PS4 console.

Sony's advantage over rivals is its strength in games, specifically music and films.

Sony's gaming division chief Andrew House has been in talks with media production companies to explore possibilities for the firm's VR headset.

Facebook CEO Mark Zuckerberg said last week the Oculus business would spend US$500 million to fund VR content development and is working on an affordable standalone VR headset not tethered to personal computers or consoles.

Other new entrants include Intel and Qualcomm, which said they are working on standalone headsets.

Microsoft plans to release a new Xbox One console next year that is expected to support VR headsets of its partners, including Oculus.