Doomed to fail (again)
3 separate platforms have tried to launch VR platforms in the last few years and they've all flopped.
Turns out people don't like expensive, dorky, uncomfortable peripherals with a mess of cables and sensors especially when there is no "killer app" that justifies the effort. VR / AR have some niche uses (e.g. flight simulators in VR are awesome), but they're too much effort for the mainstream.
Microsoft's effort is likely to fail as hard as all the rest. It seems like they're aware of that too if they're getting 3rd parties to take the financial risk of selling headsets in competition with each other for the platform.