Citing a source "familiar with [Google's] plans" the report from the Financial Times on Sunday asserts that (as we guessed last month) the headset will be a competitor to Samsung's Gear VR. Along those lines, the device will need to be paired with a smartphone in order to operate.
In addition to the VR headset, the report also claims that Google will also release new Android VR software at the same time as the hardware. Specifically, Google is said to be working to improve the VR experience by making its new VR software a native part of the Android operating system.
What the report doesn't mention is the VR camera that was strongly indicated in the Google job postings we highlighted last month, so it's possible that the camera could be released separately, or is perhaps even as a part of the VR headset itself.
See the full story here: http://mashable.com/2016/02/07/google-virtual-reality-headset/#qqmVO6H63uqu