Meta is closing down three VR studios as part of its metaverse cuts

Jan 14, 2026 01:51 AM - 4 months ago 122269

Jay Peters

is a elder newsman covering technology, gaming, and more. He joined The Verge successful 2019 aft astir 2 years astatine Techmeme.

Meta is laying disconnected astir 10 percent of its Reality Labs metaverse division, and the cuts see closing down immoderate of its VR gaming studios.

Twisted Pixel Games, the developer of Marvel’s Deadpool VR, Sanzaru Games, the developer of the Asgard’s Wrath franchise, and Armature Studio, which worked connected the Resident Evil 4 VR port, are each being closed down, according to an soul memo viewed by Bloomberg. The squad down the VR fittingness app Supernatural will nary longer create caller contented aliases features for it, though the “existing product” will still beryllium supported, Bloomberg says. Meta spokesperson Tracy Clayton confirmed to The Verge that Bloomberg’s reporting is accurate.

Laid disconnected staffers person posted astir the closures online.

“I’ve conscionable been laid off. It appears the full Twisted Pixel Games workplace has been unopen down on pinch Sanzaru and Armature too,” erstwhile Twisted Pixel level designer Andy Gentile says.
“Unfortunately, Twisted Pixel Games has been closed arsenic a consequence of strategy changes astatine Meta,” erstwhile Twisted Pixel elder creator Dan Greenfield says.
“As galore will perceive soon, respective Meta crippled studios were closed today, including Sanzaru,” erstwhile Sanzaru elder level designer Ray West says.
“Due to an unexpected closure of Sanzaru Studios, I’m unfastened for work,” erstwhile Sanzaru lead situation creator Tyler Fluharty says.

Meta acquired Supernatural developer Within in 2023 (after a conflict pinch the FTC), Twisted Pixel and Armature in 2022, and Sanzaru in 2020. The institution closed Echo VR developer Ready astatine Dawn, which it besides acquired in 2020, in 2024.

In a connection astir the broader Reality Labs layoffs, Clayton said that “We said past period that we were shifting immoderate of our finance from Metaverse toward Wearables. This is portion of that effort, and we scheme to reinvest the savings to support the maturation of wearables this year.”

Update, January 13th: Added specifications from Bloomberg about the workplace closures.

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