Meta decides not to shut down Horizon Worlds on VR after all

Meta's Chief Technology Officer, Andrew Bosworth, announced in an Instagram post that the company has reversed its earlier decision and will continue to support Horizon Worlds in virtual reality. This news comes as a relief to a small but dedicated user base, with Bosworth addressing concerns expressed by a fan who felt 'heartbroken' by the initial announcement of discontinuation. Earlier this year, Meta hinted at ceasing VR support for the social metaverse platform on its Quest headsets, a significant shift for an app that was once seen as a cornerstone of VR social interaction. However, just days after confirming that Horizon Worlds would transition to web and mobile only, Meta backtracked on this decision, affirming its commitment to maintaining access via Quest. Despite this reversal, the situation reflects the challenges faced by Meta in the virtual reality space. The company's Reality Labs division has incurred staggering losses, totaling $73 billion since 2021, the year it transitioned from Facebook to Meta. To put this into perspective, spending at this rate would require a million dollars daily for 200 years. This division's expenditures encompass not only VR but also augmented reality endeavors and AI research. Sales figures from IDC reveal that Meta's Quest headset sales dropped by 16% year-over-year, casting doubt on the hardware's potential to rival smartphones. It's not just Meta that has faced hurdles in making VR appealing; Apple recently reduced production of its $3,500 Vision Pro headset due to a lack of demand. In response to these market challenges, Meta has made significant cuts within its Reality Labs, impacting over 1,500 employees and closing several game studios, with rumors of further layoffs affecting up to 20% of the workforce. While Horizon Worlds will maintain support for the Quest headset, Meta is pivoting to prioritize its mobile experience. Bosworth mentioned on a podcast that the app has found a better product-market fit on mobile, stating, 'There’s a much bigger audience in mobile, and it’s having a really positive pickup on mobile.' He explained that the development team is working on dual builds for mobile and VR, suggesting that streamlining efforts towards mobile could enhance productivity. Data from Appfigures indicates that the Horizon Worlds mobile app has garnered 45 million downloads worldwide, with 1.5 million in 2026 alone, marking a 53% increase compared to last year. Despite this growth in downloads, consumer spending on the app remains minimal, totaling just $1.1 million, which pales in comparison to Meta's substantial investments in the metaverse. While Bosworth acknowledges the potential for greater success on mobile, the app will need to drive significantly more consumer spending to justify continued investment.