AMD is taking one huge step closer to its quest to become a major player in the virtual reality industry with the acquisition of Nitero, a company involved in making wireless VR headsets. The financial terms of the purchase were not divulged but the deal, which was completed on April 10, involved the hiring of all the employees of the startup.

Advanced Micro Services, a company more known for its microprocessors and graphics processing units or GPUs, figures to expand its business by going into VR as well as augmented reality. AMD expects Nitero, particularly the people behind it, to take it to the Promised Land. One of those people, Nitero co-founder, and CEO Pat Kelly is now the corporate vice president for Wireless IP.

As Tech Crunch noted, Nitero initially focused on developing 60 GHz wireless chips for mobile devices but switched to building chips which will allow VR content to stream from PCs to headsets. According to Forbes, the deal makes a lot of sense for AMD. The company's main rivals - Intel and Qualcomm - already have 60 GHz technologies as well as wireless divisions. With Nitero on board, AMD figures to make its mark in the industry.

A number of companies are trying to outrun each other in the race to develop the first true wireless VR headset. Valve Corp. which has invested on Nitero last year, is one of those companies that believe the technology to make such devices is already here. In fact, TPCast has already succeeded in keeping the wires off the HTC Vive. TPCast has developed a wireless kit which allows the Vive to be used without the cables. However, there is yet a VR headset in which the wireless capabilities are already integrated. AMD is looking to change that with the help of Nitero.