This is the PS VR Aim Controller. It might not look realistic, but Sony says it can handle realism better than other VR controllers.
Meaning? According to Sony, the controller's 1:1 direct tracking and aiming means that you can controller the PS VR Aim Controller like you would in real life. Wherever you hold it corresponds to where the controller appears in-game.
The PS VR Aim Controller will be used with the currently-in-development VR title Farpoint.