That price includes VAT. According to google 599 USD is 557 EUR. Add VAT to that, e.g. Finnish 24%, and you get 691 EUR. Not that far from the 699 EUR listed price.
You don't add Finnish 24% VAT but the VAT of the country where the EU branch of the company is based - most likely Luxembourg with its 15% VAT rate. (All Amazon deliveries to the Eurozone come from Amazon EU SARL in Luxembourg, for instance).
Which means the fair price would be EUR 640, almost 10% lower.
VAT is based on the buyer's country for digital goods/services [1], and in other cases (such as this) if the sales exceed 100 000 EUR per year. [2][3] In some countries, like Finland, the limit is even lower at 35 000 EUR per year. [4] So if Oculus expects to sell more than 50 copies of the Rift to Finland, it will have to pay the Finnish VAT.
(edit: This price does not include shipping.)