The Sega VR is a virtual reality headset that was under development by Sega. Versions were planned for arcades and consoles (Sega Genesis and then Saturn), but only the arcade version was released, while the home console versions were cancelled.
The Sega VR was based on an IDEO virtual reality headset (HMD) with LCD screens in the visor and stereo headphones. Inertial sensors in the headset allowed the system to track and react to the movements of the user's head.
Sega, flush with funds from the success of its Sega Genesis (released as the Mega Drive outside of North America), announced the device in 1991. It was later seen in early 1993, at the Winter Consumer Electronics Show (Winter CES), where Electronic Gaming Monthly noted it was an adaptation of a similar headset that Sega were already using for arcades. The magazine stated that a Mega Drive/Genesis version was planned for release in fall 1993 at $200 and would release with four launch games, including a port of arcade game Virtua Racing. Sega later announced that it is scheduled for release in spring 1994, according to Electronic Games.
Because of development difficulties, the Sega VR headset remained only a prototype, and was never released to the general public. Then CEO Tom Kalinske stated that the system was not released due to it inducing motion sickness and severe headaches in users. It was last seen at the 1993 Summer CES, where it was demonstrated by Alan Hunter. It vanished from release schedules in 1994. Four games were apparently developed for the system, each using 16 MB cartridges that were to be bundled with the headset.