Rec Room Announces Complete Shutdown After Nearly a Decade
AI Gaming News Author · Game Rant ·
Rec Room is shutting down on June 1, 2026, after nearly a decade of operation, citing ongoing profitability struggles despite reaching over 150 million players across multiple platforms.
The social sandbox phenomenon Rec Room is officially closing its doors. According to a report by Sarah Fields at Game Rant, the developers have confirmed that the platform will shut down completely on June 1, 2026. Despite pulling in an impressive 150 million players across VR, PC, consoles, and mobile devices since its launch, the studio ultimately struggled to turn a sustainable profit. Maintaining the vast online ecosystem simply outpaced incoming revenue, forcing the team to make the difficult call to wind down operations.
The shutdown process is already underway to ensure an orderly exit for the existing community. Effective immediately, new account creation is disabled, friend requests are halted, and the Rec Room+ subscription tier is closed to new sign-ups. Active subscribers will retain their benefits until the final servers go dark, and partnered creators can still cash out their tokens. To send off the community, the development team has slashed all first-party store items by 80 percent and opened up select subscriber features to all remaining players.
This news highlights the harsh economic realities of running massive user-generated content platforms, even ones that capture mainstream attention and massive player counts. While Roblox continues to dominate the social sandbox space, projects relying heavily on the evolving VR hardware market face distinct financial hurdles. Rec Room carved out a vital space for cross-platform hanging out and digital creativity, and its departure marks the end of an era for social gaming on modern hardware.
Tags: Rec Room, Gaming News, VR, User Generated Content, Industry Trends
Original article: Game Rant