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Rec Room announces closure, bringing its massive VR community to an end amid financial struggles

There goes a long legacy!

Story Highlights
  • Rec Room is a VR sandbox that was once valued at $3.5 billion.
  • Several in game features are now restricted, but you can still enjoy 80% discounts and free RR+ perks until EOS.
  • From June 1, both rec.net and Rec Room Studio’s online services will be shut down.

Rec Room Inc. has announced the shutdown of the beloved game, Rec Room, set for June 1, 2026. Initially launched in 2016, the game gained massive popularity over the decade, pulling in over 150 million players and creators and even collaborating with big names like the NFL, Mattel, the NBA, and more.

Rec Room says the inability to achieve sustainable profitability led to shutdown

If you don’t know, Rec Room is a VR sandbox title that works similarly to Roblox, offering various in-game rooms created by both the studio and players. Here, you can hang out and explore with other players, or build your own experiences using the Maker Pen. Everyone really loved jumping between rooms.

Social Platform Rec Room (Image via Rec Room Inc)

Unfortunately, the Rec Room team announced via their official blog that the game would shut down on June 1, 2026, stating, “Despite this popularity, we never quite figured out how to make Rec Room a sustainably profitable business,” with the costs outweighing the revenue they were generating.

They did try, but the recent VR market shift seems like the final nail in the coffin, and the overall slowing down of the gaming space added fuel to the fire. Still, I respect the team for how they’re handling the situation, trying to “wind things down thoughtfully and do right by the people who built this with us.”

You can enjoy the final days with big discounts and RR+ perks

After the announcement, several features have already been restricted. Like, you can’t create new accounts, add friends, or sign up for Rec Room+ (RR+). Though the existing membership is extended until EOS. Moreover, token rewards, monetized UGCs, and some other systems have been disabled too.

On a slightly good note, the team is offering an 80% discount on first-party content in all stores, and some RR+ exclusives like avatar items and auras are now free for everyone. That being said, I still can’t process in my head how a game once valued at $3.5B ended in this situation, even after their explanation.

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