For the past few years, the gaming industry has seen a massive trend of VR products, and it is expected to be the future for game enthusiasts. But hold on! Meta's latest decision has been a challenge for the vision of people expected to witness a VR-driven gaming era. As per the sources, Meta has closed the studios that have given some popular titles, like Deadpool VR and Asgard's Wrath 2.
The recent closures of these studios are a prime example of how things can change, even if they were looking amazing. During this time, people are curious to know about the reasons that forced Meta to take this step. I hope you are too excited to learn the reality. Well, this blog becomes a must-read for every hardcore gamer who is shocked by the news and wants more clarification.
Describing the Meta VR Studio Closure News
Credible resources hinted that Meta has shuttered its three internal VR studios recently, bringing unfortunate news that gamers wouldn't have expected. Gematsu highlighted that the closed units were handling VR/AR hardware and software, and the first-party content. The studios that have shut down are Twisted Pixel Games, Armature Studio, and Sanzaru Games.
The closures reduce Meta's VR locations, which will potentially affect the future exclusive games on the Quest. This isn't the first time this has happened, as these shutdowns follow previous closures, including August 2014's Ready at Dawn shutdown alongside the discontinuation of Downpour Interactive in 2025.
Why Did the Closure Happen?
The closures took place primarily because Meta is trying to bring down heavy losses and reorganise its Reality Labs division. It is noted that titles like Asgard’s Wrath 2 and Resident Evil 4 VR were popular, but still, the company had to go for the tough decision.
Behind the development scenes, developing high-quality VR titles often turned out to be costly. Reportedly, Reality Labs has witnessed a loss of billions of dollars every year, which has forced Meta to shrink some of its divisions to manage costs.
What Meta Said on This Matter?
According to Meta, this studio's closure is due to a crucial shift in the investment priorities. The company acknowledged that it is reducing spend on VR-focused projects and using those resources, wearables and related technologies. Meta believes that investing in this new-gen hardware will bring in more sales and profit.
This news doesn't mean that Meta is totally leaving VR, but it is clearly concerned about the future and proceeding accordingly to get more revenue. Regarding this matter, Meta issued a statement that reads :
“We said last month that we were shifting some of our investment from Metaverse toward Wearables. This is part of that effort, and we plan to reinvest the savings to support the growth of wearables this year.”
What Gamers Should Know?
Meta confirmed that it is not abandoning VR, and existing titles like Resident Evil 4 VR and Asgard's Wrath 2 will remain playable. Stepping back from costly studio management allows Meta to focus on improved hardware and performance that will benefit all VR owners.
The shift may be beneficial for more third-party developers who could bring more titles and experiences instead of relying on some first-party titles. This news might sound sad, but it could bring improved headsets and smoother VR experiences.
The Final Words
VR has been a hype in the gaming industry, but now, Meta's popular studios' closure has saddened players. These studies that were closed were known for developing renowned titles, including Resident Evil 4 and Marvel's Deadpool VR.
Since there has been a massive loss in the VR investment, Meta's decision remains to use that revenue towards other products like wearables for more profits. It is clever that the company will still support VR, but reducing these internal teams remains a shocker for Meta's long-time fans.