Meta appears to be scaling back its investment in virtual reality. The company recently announced it’s closing three of its VR game development studios: Sanzaru Games, Armature Studio, and Twisted Pixel. These studios were behind popular VR titles like the Oculus version of Resident Evil 4, the Asgard’s Wrath series, and Marvel’s Deadpool VR.
The studio’s closure follows a recent Bloomberg report indicating Meta is significantly reducing staff within its Reality Labs division. These cuts will impact over 1,000 employees. Reality Labs is responsible for Meta’s virtual reality projects, such as the Quest headsets and its game development studios.
Meta purchased Armature Studios, Twisted Pixel, and Camouflaj back in 2022, and Sanzaru Games even earlier in 2020. Although Armature Studios hadn’t released a new game since bringing Resident Evil 4 to Quest in 2019, Twisted Pixel recently launched Marvel’s Deadpool VR, which was only available on Quest 3 and Quest 3S, last year.
It’s unclear what closing these studios means for Meta’s Reality Labs in the future, including what will happen with upcoming Quest headsets and games made specifically for those platforms. Meta says this decision is part of a broader effort to concentrate its investments on wearable technology.
Meta announced last month that it was moving some of its investments away from the Metaverse and towards wearable technology. According to a Meta spokesperson, this action is a continuation of that plan, and the money saved will be used to further develop and grow its wearables business this year.
Before diving into VR game development, Armature Studios built a strong reputation working with big names in the industry. They were particularly known for their collaboration with Sony, handling ports of popular titles like Metal Gear Solid HD Collection and Injustice: Gods Among Us for the PlayStation Vita, as well as Batman: Arkham Origins Blackgate for multiple platforms. The studio also partnered with Microsoft to create the 2016 adventure game ReCore for PC and Xbox One.
Sanzaru Games has a long history of game development. Before venturing into virtual reality, they remastered The Sly Collection for the PlayStation 3 and ported games like God of War Collection and The Sly Collection to the PS Vita. They also created spin-off titles such as Secret Agent Clank for the PlayStation 2, and in 2013, released Sly Cooper: Thieves in Time, the fourth installment in the Sly Cooper series.
The studio’s partnership with Meta began in 2016 with games like Ripcoil, VR Sports Challenge, and Tron RUN/r. However, it was the release of Asgard’s Wrath on the Oculus Rift in 2019 that really caught Meta’s eye. After being acquired, the studio went on to release Asgard’s Wrath 2 a couple of years later, a game widely considered to be one of the most impressive VR titles available on Meta Quest.
Before becoming heavily involved in virtual reality, Twisted Pixel didn’t release games as frequently. However, they gained a reputation for energetic action platformers like ‘Splosion Man, and distinctive games such as LocoCycle and The Gunstringer.
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2026-01-14 14:41