TL;DR
Meta is cutting roughly 10% of its Reality Labs workforce, and developer posts indicate that multiple internal VR game studios have been closed. Meta says it is shifting investment from metaverse work toward wearables and will reinvest savings to support that area.
What happened
Reports emerged after developers posted about being laid off that Meta has closed a number of its internal virtual reality game studios as part of a broader reduction at Reality Labs. A former Twisted Pixel level designer, Andy Gentile, posted about his layoff and other studio staff have since shared similar accounts. Posts from former employees name Twisted Pixel Games, Sanzaru Games and Armature Studio as among the teams affected. Meta spokesperson Tracy Clayton framed the move as part of a strategic shift away from metaverse projects toward wearables, saying the company will redirect savings to grow its wearables business this year. Meta did not immediately respond to a request for comment on the studio closures. The company previously acquired Twisted Pixel and Armature in 2022 and Sanzaru in 2020, and it closed Ready at Dawn, another acquired studio, in 2024.
Why it matters
- The closures signal a pullback from internal VR game development within Reality Labs and a reallocation of resources toward hardware-focused wearables.
- Layoffs and studio shutdowns can disrupt ongoing VR projects and affect the careers of specialized developers.
- This follows earlier studio closures at Meta, suggesting a sustained reprioritization of the company’s XR investments.
Key facts
- Meta is cutting about 10 percent of employees in its Reality Labs division.
- Developer posts indicate Twisted Pixel Games, Sanzaru Games, and Armature Studio were closed as part of the cuts.
- Former Twisted Pixel level designer Andy Gentile posted about being laid off; other former employees also reported closures.
- Meta spokesperson Tracy Clayton said the company is shifting some investment from the metaverse toward wearables and plans to reinvest savings to support wearables growth.
- Meta acquired Twisted Pixel and Armature in 2022 and Sanzaru in 2020.
- Meta previously closed Ready at Dawn, the studio behind Echo VR and another acquisition, in 2024.
- Meta did not immediately reply to a request for comment about the studio closures.
What to watch next
- Official confirmation from Meta about which internal studios have been closed and the scope of the layoffs (not confirmed in the source).
- Details on the fate of in-progress VR game projects and whether any will be canceled or moved (not confirmed in the source).
- Announcements about rehiring, transfers or support for laid-off employees from Meta or the affected studios (not confirmed in the source).
Quick glossary
- Reality Labs: Meta’s hardware and virtual/augmented reality research and product division, responsible for VR headsets and related software.
- metaverse: A broad term for networked virtual environments and experiences that aim to combine social interaction, digital spaces and persistent online worlds.
- wearables: Hardware devices worn on the body—such as smart glasses or fitness trackers—that provide computing or sensing capabilities.
- VR studio: A game development team or company that creates content specifically for virtual reality platforms.
Reader FAQ
Which studios were closed?
Developer posts name Twisted Pixel Games, Sanzaru Games and Armature Studio as being closed; Meta has not provided a full public list in the source.
How large were the layoffs?
About 10 percent of Meta’s Reality Labs division was reported to be laid off.
Why did Meta make these cuts?
Meta said it is shifting some investment from the metaverse toward wearables and plans to reinvest savings to support wearables growth.
Are any specific projects confirmed canceled?
not confirmed in the source
NEWS ENTERTAINMENT GAMING Meta’s metaverse layoffs apparently include some of its VR studios Developers from Twisted Pixel Games and Sanzaru Games have posted about their studios being closed down. by…
Sources
- Meta’s metaverse layoffs apparently include some of its VR studios
- Meta Closes Twisted Pixel, Armature & Sanzaru Games
- Meta plans to lay off hundreds of metaverse employees this …
- Meta Reportedly Cutting About 1500 VR and AR Jobs …
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