Rec Room, once hailed as a promising giant in the social gaming world, announced Monday it would be shutting down its platform on June 1.
If you’re a fan of the platform or have ever spent time creating or exploring in its virtual worlds, this news probably hits hard. Over the years, Rec Room attracted more than 150 million players, becoming a go-to spot for social gaming, especially during the pandemic when everyone was looking for ways to connect online.
Founded in 2016 by Nick Fajt and Cameron Brown, Rec Room garnered significant attention and investments, reaching a valuation of $3.5 billion in December 2021.
Despite all those players, Rec Room struggled to figure out how to actually make money. Costs skyrocketed, and the revenue just couldn’t keep…