CD Projekt Red isn’t concerned about competing with Valve’s Half-Life: Alyx, which is slated to be released around the same time as the developer’s upcoming RPG Cyberpunk 2077 . The reason being that Half-Life: Alyx is a VR-only project, and CD Projekt views the technology as incredibly “niche.”

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During the Q&A portion in a recent investor earnings call, an analyst asked CD Projekt whether it was “afraid that [Half-Life: Alyx] may pull some of the gamers away from Cyberpunk due to the fact of being [a] highly anticipated release?”Although there’s some audience crossover between Half-Life: Alyx and Cyberpunk 2077 (both are dystopian, sci-fi games) CD Projekt’s senior vice president of business development Andrzej Nowakowski says there’s no reason to worry about any potential loss of sales from the release of Valve’s VR Half-Life sequel.“So, of course, we’ve seen the Half-Life PR announcement,” Nowakowski said. “I think it was a surprise for everybody, but I think not in a way you are suggesting. VR remains an extremely nichey niche of the market, like it’s very, very small.”Nowakowski says that the simple fact that Half-Life: Alyx is VR only while Cyberpunk 2077 is coming out for more traditional hardware and PC means that there will be little overlap. “That niche is very, very, very — and I could add a few verys here — small. So from the market perspective, are we afraid? No, because it’s a very different niche.”Nowakowski also said CD Projekt isn’t too interested in working in VR because of its current size. While he says that Half-Life: Alyx may help VR grow, currently the technology doesn’t make up a market big enough for CD Projekt to focus on.Valve surprised everyone last week when it revealed Half-Life: Alyx , the first new game in the series in 12 years. IGN spoke with Valve to get some details about the project, including its length, why it’s VR-only, and which developers are working on it.Meanwhile, CD Projekt Red is gearing up for the launch of Cyberpunk 2077, the hotly anticipated RPG. Read more about it in our Cyberpunk 2077 preview and interview with Keanu Reeves

Matt Kim is a reporter for IGN. You can reach him on Twitter