Well, the vision is not wrong (although I think AR has more of a chance to replace smartphones as the next platform than VR). It’s the execution that sucks, and John Carmack forensically dissected the reasons for that (which boil down to paradoxically too much money being spent on bad ideas).
Also, they they thought by cornering the market in hardware (mostly by selling them at a loss) they would control the software, which flies against the face of everything in computing history over the last 40 years.
