Hey everyone! It’s Nuked here and I’m here to talk about the recent news that AltspaceVR is shutting down on March 10th, 2023.

Microsoft acquired AltspaceVR in 2017 as part of its efforts to build out its own mixed-reality ecosystem. The company has now decided that it will be shutting down the platform in order to focus on immersive experiences powered by Microsoft Mesh.

AltspaceVR was one of the first social VR experiences to emerge in 2015 alongside other platforms like VRChat and Rec Room. Microsoft is allowing users to download their data from AltspaceVR before the shutdown.

Microsoft Mesh is geared toward companies looking to collaborate remotely, and Microsoft has been gradually building upon Mesh since it first announced it in 2021. My colleague Tom Warren describes it as “feeling like the future of Microsoft Teams.”

Unfortunately, Microsoft’s decision to shut down AltspaceVR comes as part of its efforts to make adjustments to its “hardware profile”, with reports of the company cutting the entire team behind AltspaceVR, as well as those working on its open-source Mixed Reality Toolkit.

The move also follows Congress denying the US Army’s request to purchase up to 6,900 headsets based on the HoloLens platform. It’s a shame that this platform is closing down, but hopefully Microsoft Mesh will be able to fill its place in time.