Animal Company

What Happened to VR Games in 2025?

The virtual reality gaming market experienced significant contraction and strategic shifts throughout 2025, characterized by widespread layoffs at major industry players like Meta’s Reality Labs and the closure of prominent first-party studios.

• The VR gaming market in 2025 shifted heavily toward free-to-play, social sandbox experiences, which now account for approximately 70% of user time on the Meta Quest platform.
• Premium, paid VR titles faced significant commercial failure in 2025, with only four VR-only titles on Steam managing to sell more than 100,000 copies.
• Top-grossing VR titles are currently dominated by established sandbox hits and evergreens, specifically Gorilla Tag, Animal Company, and Yeeps.