The first time I hooked up the Rift and played around on it, I fully understood that this is where things are going to end up. I see the tech branching off in two directions, but I think Augmented Reality is going to be the first one to successfully hit mass marketing. In the long run, it's easier to do and more in line with our current technology.
It sounds a bit backward, given the product lines available today, but it's actually not. VR is available today in full consumer versions. However, it is still situational. Most people with a Rift or Vive still play the vast majority of their games outside the headset. It's amazing, sure. I love my Rift. However, it is impractical for the vast majority of the games I play. When I have it on, my wife and daughter might as well be across the country. I have fully checked out of the room and am in another world entirely.
The same goes for anyone playing. Just imagine all the things you do while you are playing a game. You occasionally check your phone. You watch some show on TV. You listen to music or audiobooks, etc. When you're in VR though, that's it. That's what you are doing, nothing else. That's not even counting the other time spent on your PC. You look up stuff on google. You hang out and post ridiculously long replies on forums (ok, that last part is mainly just me...). None of that stuff is practical in VR. So, it's not worth checking completely out of your real world except occasionally. ...not yet at least.
Once haptic feedback and locomotion comes out in a workable form, that all will change. I'm talking about full Ready Player One and Sword Art Online shit. Only then will it be truly emersive enough for people to devote large chunks of time. People will flock to the stores like the latest apple phone and stand in line to buy into this tech. People will sell their cars and ride the bus so they can afford to buy it. They will downgrade their jobs and live in studio apartments so they can spend more time in those worlds. As it is now though, it is too expensive and too situational for the masses to buy in.
Augmented reality though, has real world practical applications. Imagine not having to buy a TV, just an AR headset that projects a perfect 80in 4k screen onto your wall. Imagine your desk without a monitor(s). Imagine popup reminders, 360 degree movies, virtual pets, virtual wall decorations, immersive 3d browsers that act like the interface in ironman. Those will all be possible with AR and it is just around the corner. THAT will be the first to go widespread. It's practical and can change your entire world while still participating in the real world.
or at least that's what I think...