On March 10, Microsoft will stop supporting AltspaceVR

On March 10, Microsoft will no longer support AltspaceVR. The news follows the company’s statement that it will lay off 10,000 workers. Microsoft is scaling back its plans for the metaverse. Earlier today, in a blog post picked up by VentureBeat (via The Verge), the company said it was shutting down AltspaceVR.

It acquired the 2017 social virtual reality platform on March 10, 2023. Microsoft stated that the decision was made so that more resources could be allocated to the development of Mesh. This mixed reality platform was first announced in 2021 and would later come to Teams.

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“We look forward to what’s to come, including the launch of Microsoft mesha new connectivity and collaboration platform, empowering organizations around the world for the first time.” stated Microsoft. In the near term, we will focus our virtual reality (VR) efforts on in-office operations, gain insight from and work with our early customers and partners, and ensure we provide a platform that brings security, trust and compliance supports.

Microsoft is ending support for AltspaceVR

We plan to eventually include customer experiences as well. Microsoft has already announced that it will lay off 10,000 employees by the end of March, so this news of the closure is no surprise. Windows Central reports that as part of its company-wide restructuring, Microsoft plans to lay off the entire AltspaceVR team.

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According to Bloomberg, the number of employees working on the HoloLens project was also reduced. In the past 12 months, the division has lost its head (Alex Kipman), who left Microsoft in June amid claims of sexual misconduct and saw a purchase deal with the US military on hold. In 2022, it was also reported that Microsoft would not release a new HoloLens.

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