Meta Pivots from Virtual Reality as Twisted Pixel and Sanzaru Close Their Doors
- Jan 15, 2026
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This article details recent changes within Meta's company structure, shedding light on significant adjustments that have impacted its Reality Labs division. It provides an overview of how these changes affect former creative teams and the future direction of the firm's technology focus.
Meta has announced that both Twisted Pixel Games and Sanzaru Games have been closed as part of a broader reorganization. The restructuring comes alongside plans to reduce an additional 10% of its virtual reality workforce, as the company aims to reallocate resources toward artificial intelligence initiatives.
Key information about the closures includes:
- Twisted Pixel, known for projects such as Marvel’s popular VR experience featuring a well-known antihero and another unique VR title, has ceased operations.
- Sanzaru, recognized for its work on a series inspired by mythological narratives, has also ended its development activities, resulting in the dismissal of all its staff.
The Reality Labs division has experienced considerable financial setbacks over several years, linked to the ambitious yet unfulfilled vision of a comprehensive digital universe. Meta isn't encountering this scenario for the first time disbanding a virtual reality team, as a similar fate befell another studio a couple of years ago. The recent decision underscores the company’s strategic pivot away from VR gaming.
Meta extends its best wishes to all individuals affected by these transitions and hopes for their success in future endeavors.