Rec Room to shut down exactly on its 10th anniversary, citing profitability struggles

Popular VR social platform Rec Room’s developer Against Gravity has announced the shutdown despite having a 150 million consumer base and logging staggering 68,000 years of combined playtime.

The platform admitted that they “never quite figured out how to make Rec Room a sustainably profitable business.”

The official team stated, “Our costs always ended up overwhelming the revenue we brought in. With the recent shift in the VR market, along with broader headwinds in gaming, the path to profitability has gotten tough enough that we’ve made the difficult decision to shut things down.”

Through the platform, gamers were able to play popular games such as Paintball and Disc Golf, customise avatars, and create monetized user-generated content.

The officials decided to go offline starting June 1, 2026.

New users are already unable to create an account, while the premium memberships have been extended through the shutdown date.

Additionally, creators will not be able to monetize the content with token purchases ending on May 1.

Room rewards will cease after April, though creators can collect their previously earned tokens until May 18.

This shutdown comes at a tough time for VR gaming. In August 2025, the company laid off half its employees. More recently, Meta’s Reality Labs division laid off 10 percent of its employees, shutting several VR-first studios.