Rec Room shutting down after failing to become 'sustainably profitable'
in newsletterGame Developer · 2026-03-31 · 4 min read · studios
Rec Room is shutting down after failing to reach sustainable profitability. The social gaming platform's closure is a cautionary data point for UGC and social VR-adjacent studios banking on engagement-first, monetization-later models.
Appeared in 2026-03-31.