I believe it was initially meant to be an precise combined reality device. If you happen to have a look at the unique previews on numerous web sites they actually appear to point that cross by means of video was anticipated.
So I am speculating that the decision or FPS from the cameras to the shows had been substandard leading to a vomit-inducing MR experience. It was most likely higher to launch a good VR experience versus a nasty MR experience.
It will be nice if somebody might affirm this.