Are they so confident in the technology that they have started to heavily invest in the content? Is this a way to position themselves as an entertainment company rather than a tech company?
1. An elephant on a flower isn't going to get someone to pay $500-$1000 for this hardware. You need very high quality content to get lots of consumers on board.
2. Moving from current cinema production to VR production is going to be a huge learning curve for a lot of artists. You need to create best practices and examples of how it is done by artists.
Trying to do everything themselves seems overly ambitious. Then again I doubt they get funding like this without something provably awesome and a solid plan to move forward.