I think headsets might work, but I think Meta trying to use their first mover advantage so hard so early backfired. Oculus, as a device, became less desirable after it required Facebook integration.
It's kind of like Microsoft with copilot - the idea about having an AI assistant that can help you use the computer is great. But it can't be from Microsoft because people don't trust them with that.
Interaction feels like the issue with headsets. You either need a fair bit of space for gesture controls, or you have to talk to yourself for voice control.
I think VR has more niche uses than the craze implied. It’s got some cool games, virtual screens for a desktop could be cool someday, but I don’t see a near future where they replace phones.
People are discounting the fact the almost no one wants a contraption on their head for an extended period of time. It is a universal preference
Until VR is done via glasses or some wire you stick in your neck matrix style, it will never take off