Meta Shuts Down Twisted Pixel and Sanzaru Games | Major VR Layoffs Hit Reality Labs

Former Twisted Pixel and Sanzaru staff have begun sharing the sad news on social media today: Twisted Pixel, the team behind Deadpool VR, has been shut down, and Sanzaru Games has also been closed. It was reported by The New York Times that Meta would be laying off 10% of its Reality Labs division, as well as VR teams focused on the Oculus platform.

AndyTHPS shared on X that they had been laid off, with the entire Twisted Pixel games studio being shut down.

The studio was nominated for Best VR/AR Game at this past year’s Game Awards. It is currently unclear how many people have been affected by the layoffs overall at the time of writing. Along with this sad news comes word from Sanzaru. Long-time PlayStation fans may recognize the name from the team that brought sleuth fans three Sly Cooper games before being acquired by Meta in 2020. It appears the long-running studio, which also created Asgard’s Wrath, has been affected by studio closures as well.

Is this the end of VR, or just another ripple effect in the gaming industry? Let us know your thoughts over in our Discord. Both studios were approaching their 20th anniversary before Meta decided to shut the doors. We have reached out for comment and will update this article if we receive a response