Meta VR is taking a leaf out of Joker’s twisted book, and has killed a Batman Arkham sequel

Batman: Arkham Shadows‘ reveal back in 2024 was probably one of my favorite reveals of the year. The series is well-respected and beloved across the industry, so a VR-exclusive version that respects the rest of the Arkham games, while also bringing a new story, felt like virtual reality’s big moment. As a bonus, it was also packed in with new headset purchases, a match made in immersive heaven. Unfortunately, it seems like it didn’t pan out too well, as Meta has apparently cancelled the sequel that was in the works.
It’s not been a good week for the company behind one of the best VR headsets on the market. Meta has laid off 10,000 employees, including the closure of three VR studios – Sanzaru, Armature, and Twisted Pixel. The latter hurts particularly, as my recent Deadpool VR review was fairly positive, but it seems the gut punches to my avatar aren’t stopping just yet. Sadly.
While the developer of Batman: Arkham Shadow, Camouflaj, has not been shut down (though there have been layoffs), apparently, the sequel was being developed by Sanzaru Games, the development studio behind Asgard’s Wrath, and that has been closed down. According to UploadVR, the sequel has been cancelled, which is disappointing considering the rumors that it was in development. The shift in funding, and therefore the redundancies across the board, are part of Meta’s shift from Metaverse and VR to AI and smart glasses, which had higher sales last year.
It is deeply sad that we won’t get another Batman: Arkham Shadow game, but I’m even more disappointed at Meta’s shift in focus. Considering the massive change in branding from Facebook, Inc. to Meta, it seemed like the company had set itself up as a massive player that continually funds VR and, sadly, the Metaverse. However, the gamble hasn’t paid off, and despite the colossal success of the Oculus Quest 2, it seems like the Meta Quest 3 family hasn’t turned the tide.
I can’t help but feel like this is not only disappointing but also a bit haphazard. I can imagine that VR games aren’t as profitable as regular triple-A titles, in many cases, but it needs focused investment. Meta’s switch from simply being a storefront to ‘Horizon Worlds’ has greatly damaged the digital storefront for Quest users, and the constant change in focus – from being a strong player in VR, to fighting Apple Vision Pro, to now funding more smart glasses – is hurting the brand. Why invest and buy a product when you’re unsure if Meta will spend money on it in the future? It seems like Meta is using the Google Process of starting and killing products.
It’s worth noting that these are Meta’s own studios affected by layoffs. Many third-party developers are still working on VR games, and considering that the Meta Quest is the biggest VR headset on the market, I can’t imagine it’ll become a paperweight anytime soon. However, it is a concerning change in pace, and I can’t say I’m too thrilled about it.


