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TEXXR

Chronicles

The story behind the story

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As part of its Reality Labs cuts, Meta is closing three VR gaming studios and will stop developing new content and features for its VR fitness app Supernatural

Developers from Twisted Pixel Games and Sanzaru Games have posted about their studios being closed down.

The Verge Jay Peters

Context & Ripple Effects

The closures follow reports of planned Reality Labs layoffs weighted toward VR headsets and Horizon Worlds, making content teams part of a broader division-wide retrenchment.

Meta had already reduced its internally owned VR catalog: it closed Ready at Dawn under a new Reality Labs budget ceiling after the studio's earlier decision to sunset Echo VR. This extends that shift from individual titles and studios to both games and fitness programming.

First-order effects

  • Twisted Pixel Games and Sanzaru Games are among the three studios closing, immediately ending their roles as Meta-owned VR game developers.
  • Supernatural users lose the prospect of new content and features, while the service's remaining team and community face a reduced product roadmap.

Second-order effects

  • Meta's Quest ecosystem loses planned first-party games and ongoing fitness programming that could help sustain headset engagement, increasing the importance of outside developers and existing content.
  • The cuts signal that internally produced exclusives face a higher bar for investment, an instance of the exclusive-content opportunity cost facing platform owners.

Third-order effects

  • If sustained, the pattern would make Reality Labs less of a vertically integrated VR content operator and more dependent on third-party software and services to support its hardware platform.
  • VR's platform competition may increasingly turn on the durability of developer ecosystems and service retention rather than on costly, Meta-owned studios; the scale of that shift depends on what investment replaces these teams.

The trend: Meta's Reality Labs restructuring points to tighter prioritization of VR spending, with owned content and live-service support being pared back alongside hardware-focused cuts.

Discussion

  • @andythps @andythps on x
    I've just been laid off. It appears the entire @twisted_pixel games studio has been shut down. @SanzaruGames too
  • @jasteinerman Jake Steinerman on x
    Thanks for everyone who's reached out to me today. SO MANY insanely talented people across RL were affected as well. Please reach out to them too!
  • @asychov Artur Sychov on x
    Horizon platform has no future because no more affordable VR headsets will be released by Meta for Horizon OS, so gradually number of active users will shrink even further.
  • @dbloodworth2 Daniel Bloodworth on x
    Really wish giant money companies that swallow up studios for trend chasing would find ways to let these studios regain their independence rather than just killing them off.
  • @glitchfandango @glitchfandango on x
    If this is true (I see no reason why it wouldn't be) then this marks a truly sad inflection point for VR Sanzaru are among the best developers in VR. If Meta are shuttering studios of this caliber then this is the first time I've started to actually worry about the future of VR
  • @vescosein @vescosein on x
    This one hurts. Twisted Pixel made some of the best 360 arcade games and Sanzaru made a great Sly Cooper sequel. Getting relegated to the Facebook VR mines and then being shutdown is brutal.
  • @killian_c_u @killian_c_u on x
    Armature is composed of people who worked at Retro and made Metroid Prime. Their recent release, RE4 VR is legit incredible. Absolutely vile action, not just Armature but Sanzaru and Twisted Pixel.
  • @victor_lucas Victor Lucas on x
    VR game makers can make ANY kind of videogame. Savvy publishers and biz dev peeps that are looking for their next level up should be assembling a bunch of killer new game studios from the talented game makers leaving Twisted Pixel, Armature, Sanzaru, Cloudhead, etc. These
  • @raeljamsesh Rael Hodgson on x
    Supernatural acquisition gotta be the biggest fumble of all time. Where was the international launch? Yes yes music licensing is a bitch but you're Meta 😂
  • @bmfshow Matt on x
    What a sucky heartbreaking day for those working on VR at Meta. I'm seeing layoffs and studios shut downs all over. Twisted Pixel seems to be shut down, Deadpool VR, Sanzaru is shutdown, Asgard's Wrath, Supernatural team is gone, Armature, RE4 VR gone, layoffs all over for VR.
  • @tomwarren Tom Warren on x
    Meta is laying off about 10% of its Reality Labs metaverse division, and the cuts include closing down some of its VR gaming studios. Twisted Pixel Games, Sanzaru Games, and Armature Studio are all being closed down 😔 https://www.theverge.com/...
  • @davelee.me Dave Lee on bluesky
    The only good app in VR is being killed off [embedded post]
  • @themoonis.gay Shayna Moon on bluesky
    I'm hearing that my old team at Sanzaru within Meta has been hit with a total studio shutdown.  If you see these folks apply to your studios, please hire them!  It is a really great group of people.  —  As for Zuckerberg, wouldn't spit on him if he was on fire.
  • @marioprime Giovanni Colantonio on bluesky
    Meta stinks and had a terrible vision for VR.  But it also invested in great studios who were producing excellent games that pushed the medium forward, despite Meta not being as serious about that.  I hope those shuttered teams can get their flowers and not be lumped into “tech b…
  • r/pcgaming r on reddit
    Meta is closing down three VR studios as part of its metaverse cuts: Sanzaru Games, Twisted Pixel Games, and Armature Studios
  • r/Games r on reddit
    Meta is closing down three VR studios as part of its metaverse cuts.  Developers from Twisted Pixel Games and Sanzaru Games have posted about their studios being closed down.