Meta Withdraws VR Shutdown Order Within 24 Hours, Existing Games Remain Open

Meta announced that it would withdraw Horizon Worlds from Quest VR headsets less than 24 hours after initially announcing the plan. CTO Andrew Bosworth confirmed this change on Instagram Stories, citing fan feedback, stating that existing VR games will continue to be available in the foreseeable future, but no new games will be added to the platform.

24-Hour Reversal: Fan Backlash Rewrites Closure Decision

The original plan was to remove Horizon Worlds from Quest devices by June 15, 2026, leaving only the standalone app version launched in 2023. After Meta announced this, it quickly faced strong fan backlash. Bosworth chose to respond directly on social media, confirming the reversal.

According to the updated stance, worlds built with the Horizon Unity game engine will continue to be playable in VR, but no new content will be added. Bosworth stated, “Most of our effort has gone into mobile and the Meta Horizon Engine there.” This clearly reveals Meta’s actual priority—reversing the decision to keep Horizon Worlds, but shifting focus elsewhere.

Reality Labs’ Financial Struggles: Strategic Reassessment Behind $80 Billion Loss

This 24-hour reversal is set against the backdrop of Meta’s ongoing financial decline in its metaverse division:

• 2025 Reality Labs operating loss: $19.2 billion
• Cumulative loss since late 2020: Nearly $80 billion
• Annual total revenue: Only $2.2 billion
• Horizon Worlds monthly active users: Never exceeded a few hundred thousand (compared to Roblox’s over 100 million daily active users)
• January 2026 layoffs: Cut about 1,000 jobs at Reality Labs, closed multiple VR game studios

These figures reveal that the reversal to keep Horizon Worlds is not a strategic revival but a move to maintain the status quo during a transition period as AI focus intensifies, avoiding triggering stronger public backlash.

Meta’s Core Strategy Shift: AI Replaces the Metaverse

Meta plans to spend between $115 billion and $135 billion in capital expenditures in 2026, mostly on AI infrastructure. In 2021, Meta rebranded itself, positioning the metaverse as its core vision, but that definition is now being quietly rewritten.

While the metaverse technology still exists, funding, talent, and management attention have largely shifted away. The partial reversal of Horizon Worlds will not change this trajectory—it marks a contraction phase for a nearly $80 billion vision, not an expansion.

Frequently Asked Questions

Why did Meta withdraw Horizon Worlds’ closure within 24 hours?

Meta CTO Andrew Bosworth stated on Instagram Stories that the company decided to reverse the plan after receiving strong feedback from fans. According to the updated stance, existing VR games will remain accessible, but no new content will be added, and mobile development remains Meta’s main focus.

How much has Meta invested in the metaverse, and what are the results?

Meta’s Reality Labs has accumulated nearly $80 billion in losses since late 2020, with a $19.2 billion loss in 2025 alone. Annual revenue is only about $2.2 billion. Horizon Worlds’ monthly active users have never exceeded a few hundred thousand, far below competitors like Roblox.

What is the long-term direction of Meta’s metaverse strategy?

Meta has significantly shifted investment toward AI, with capital expenditures in 2026 planned to reach $115 billion to $135 billion, mostly on AI infrastructure. Reality Labs laid off about 1,000 employees and closed several VR studios this January, indicating a long-term contraction in metaverse efforts.