Meta Platforms is set to close its Horizon Worlds metaverse for virtual reality users on June 15, marking a significant retreat from its ambitious VR aspirations.
In a blog post, Meta announced that consumers will no longer be able to build, publish, or update virtual reality worlds, or access the Horizon Worlds metaverse on Meta Quest headsets. Instead, the company is pivoting to a mobile-only experience, aligning with a broader trend in the tech industry where mobile platforms have become the primary focus.
From VR to Mobile: A Strategic Shift
Horizon Worlds launched in late 2021 as a VR-only, online multiplayer platform where users could create and explore virtual environments. However, the platform struggled to gain traction, especially when compared to competitors like Fortnite and Roblox, which have millions of daily active users across PC, console, and mobile platforms.
According to Samantha Ryan, VP of Content at Reality Labs, the decision to shift Horizon Worlds to a mobile-first strategy is driven by the need to reach a broader audience. ‘We are shifting the focus of Worlds to be almost exclusively mobile,’ Ryan said in February. This move reflects a growing recognition that mobile devices offer a more accessible and widely used platform for digital experiences.
Financial Realities and Strategic Decisions
The shift to mobile also comes as Meta faces significant financial challenges. Reality Labs, the division responsible for the company’s metaverse efforts, has reported cumulative losses of nearly $80 billion since 2020, with a record $6 billion loss in the fourth quarter of 2025. In January, Meta cut 1,000 jobs from Reality Labs and shuttered some of its VR game and content studios.
Andrew Bosworth, CTO of Reality Labs, emphasized that the company will now prioritize mobile experiences. ‘We will primarily focus on mobile experiences instead of fully immersive virtual worlds accessed via headsets,’ he stated. This strategic realignment is aimed at reducing costs and maximizing the potential of existing technologies.
Market Dynamics and Competitor Influence
While Meta has struggled to make its metaverse vision a reality, competitors like Fortnite and Roblox have thrived by offering cross-platform experiences. Fortnite, developed by Epic Games, has never officially developed a VR version, while Roblox has offered a VR app since July 2023, though not all worlds are VR-compatible. These platforms have capitalized on the convenience and accessibility of mobile and PC gaming, attracting a massive user base.
Meta’s decision to pivot to mobile is also influenced by the broader tech industry trend of layoffs and cost-cutting. In January, a speculative Reuters report suggested that Meta is planning ‘sweeping layoffs’ that could affect 20% or more of its workforce. While Meta has not confirmed these plans, the company’s spokesperson told CNBC that the report was speculative. Nonetheless, the move would align with efforts to offset spending on AI infrastructure and augmented-reality wearables.
The Future of the Metaverse
The shift from VR to mobile in the metaverse space is not unique to Meta. The blockchain-based metaverse, once a hot topic in the crypto industry, has also seen a decline in interest. Major blockchain-based players such as Axie Infinity, The Sandbox, and Decentraland have seen their tokens plummet between 98% and 99% from their all-time highs in November 2021, according to CoinGecko. The latest AI hype has further overshadowed these projects.
Despite these challenges, the concept of the metaverse remains a significant area of interest and investment. As Meta and other tech giants continue to explore new frontiers, the focus on mobile platforms and accessible technologies is likely to shape the future of digital experiences. The metaverse may evolve in unexpected ways, driven by the dynamic interplay of technological advancements, user preferences, and market forces.
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