Microsoft will not be showing any VR capability with Xbox or Project Scorpio at E3 according to reports.
Polygon have posted a quote from Microsoft technical fellow Alex Kipman saying: “Our primary focus is making our mixed reality experiences a success on Windows 10 PCs. We believe that right now a Windows PC is the best platform for mixed reality as its open ecosystem and enormous installed base offer the best opportunity for developers, and Windows offers the most choices for consumers."
Kipman also said that Microsoft’s belief is "that console VR should be wireless, right now we are focused on developing mixed reality experiences for the PC, not on the console." This could suggest that until the next generation of VR comes along that sheds its cable requirements, Xbox and VR won’t be available for a while yet.
Sony recently said that the PSVR has sold over 1million units and Microsft have mostly focued on mixed reality with their own Hololens device and the ASUS mixed reality headsets. Although Xbox has said that Project Scorpio will have the ability to support VR.