Meta Cuts Down Metaverse Development Amid Reality Labs Restructuring

Meta is significantly downsizing its metaverse development efforts, with reports emerging that the company is shutting down several of its VR gaming studios in a major restructuring effort. The layoffs appear to include Twisted Pixel Games, the developer behind Marvel’s Deadpool VR, as well as Sanzaru Games and Armature Studio, who worked on the Resident Evil 4 VR port. Former employees have confirmed the closures via social media, with one former level designer at Twisted Pixel detailing that his studio was closed due to “strategy changes” at Meta. The move comes as Meta continues to navigate its Reality Labs metaverse division, which has faced significant challenges in recent months. The company has announced several major layoffs and restructuring efforts aimed at reorganizing its focus and priorities within the division. While the exact impact of these closures on Meta’s overall metaverse strategy remains unclear, they are likely to have a significant effect on the development of VR experiences and games within the platform.