Meta’s first-party VR studio Ready at Dawn—the developers of Lone Echo and more—is reportedly being shuttered. This comes after the studio was acquired back in 2020 and has only released one game since.

Ready at Dawn is the studio behind one of PC VR’s most immersive games: Lone Echo (2017), and its popular multiplayer spinoff, Echo VR. Following the release of those two titles, the studio was eventually acquired by Meta in 2020, and then finally launched Lone Echo II on PC in late 2021.

Ready at Dawn was well into the development of Lone Echo II when the studio was acquired by Meta. The impetus for the acquisition remains unclear to this day, but two major possibilities are: Ready at Dawn was struggling to find enough money to make it over the finish line on Lone Echo II and Meta stepped in to make sure it would happen, or things were going just swell for the studio but Meta made a seriously attractive offer the studio couldn’t refuse.

Image courtesy Ready at Dawn

Whatever the case, Lone Echo II was the only major title released by Ready at Dawn following the Meta acquisition. Nearly three years after its late 2021 release, the studio hasn’t released any new game, let alone announced one.

In fact, the only major thing that’s happened outwardly with the studio is that it shut down Echo VR, a beloved multiplayer spin-off of the Lone Echo games, in 2022.

With little to show, many were left wondering what the studio was up to.

A port of Lone Echo and Lone Echo II for Quest was considered a possibility, but Meta quashed that hope in 2022 when it said there were no plans for Lone Echo on Quest, and instead said the studio was “in the early stages of working on new, exciting projects and can’t wait to share more information about them in the future.” Perhaps a brand new Quest game was in the works?

Whatever the studio was working on, it was unfortunately all for naught. Android Central reported today that Ready at Dawn is being closed down, effective immediately.

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This is not only an unexpected shock for those outside of the studio, but seemingly for those within as well; Android Central says that Meta employees were “encouraged to apply elsewhere within Oculus Studios and that the company wants to retain as many talented developers as possible”—suggesting that little effort was made to absorb the studio’s talent into the company at large ahead of time.

The closure of the studio comes amid Meta’s efforts to curb spending in Reality Labs, its metaverse and XR division. The division has spent an average of $15.5 billion annually since its inception, with average annual revenue of only $2.1 billion.

The shuttering of Ready at Dawn closes a nearly 21 year chapter for the studio which got its start building titles for PSP, PS3, and PS4. Before its acquisition by Meta, the studio had pivoted to VR development and created Lone Echo, which became an iconic PC VR title thanks to its production quality, innovative zero-G locomotion, and the Echo VR multiplayer spin-off which took on a life of its own.

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Ben is the world's most senior professional analyst solely dedicated to the XR industry, having founded Road to VR in 2011—a year before the Oculus Kickstarter sparked a resurgence that led to the modern XR landscape. He has authored more than 3,000 articles chronicling the evolution of the XR industry over more than a decade. With that unique perspective, Ben has been consistently recognized as one of the most influential voices in XR, giving keynotes and joining panel and podcast discussions at key industry events. He is a self-described "journalist and analyst, not evangelist."
  • Alex Soler

    OMG. Like… What is Meta thinking about? Couldn't they plan for at least a LE3 for Quest3? That was one of the most talented VR studios out there in the marketplace. I'd like to know what happened, but someone at Meta trully has the talent of destroying good things for VR. It's baffling, and almost disgusting :-(

    • John Duncan

      You seem surprised . Meta only bought ready at Dawn to stop Sony owning them. They never really had plan for them

      • VR5

        It is true that only after Sony locked down Insomniac, just weeks before their last and biggest VR title Stormland released, Meta (then Oculus/FB) started to acquire some of the independent studios they had been previously financing to do exclusive content. But the point of that was of course to secure high quality content for their platforms.

        Ready at Dawn was able to make the Echo games because of FB funding. Same with Asgard's Wrath by Sanzaru, all those Insomniac games, and even Superhot VR (which was only timed exclusive). They very much had this plan and Lone Echo 2 released after RaD were acquired, on PC despite Oculus having already shifted to Quest.

    • VR5

      Lone Echo ended on a cliffhanger whereas LE2 tied up the story nicely. They were for sure working on something for Quest, they had reported as much. But apparently whatever they had was less promising than other internal studios' efforts.

      It is easy to attack Meta for closing RaD but shouldn't you also acknowledge that before they did that, they financed all the big VR titles RaD was able to make up until now? Which unfortunately were commercial flops.

      Meta is investing in VR games more than anyone else. Still, it is a small part of their overall spending on VR. And instead of celebrating these amazing games, "gamers" join stock traders in calls for giving up on VR, which results in these cuts and layoffs.

      • kool

        I don't think Meta is investing that much into VR they are investing in Mr metaverse. We'll see how much money they are putting into VR on their next connect show but I don't expect much.

        • VR5

          I said they invest more in VR games than anyone else though and that's true? My point being, more high profile games are funded and released by Meta than by Sony, Ubisoft or Valve, which are the only serious contenders.

          • kool

            That’s not saying alot valve, did one game, Sony gave up but still has put out more vr games than Meta. If meta shows off alot of games at connect than I’m wrong . If they show up with a bunch of they sponsored than Meta isn’t investing enough in vr to make games internally which is worrying about the future of vr. Not in the since it won’t make it, in the since they will prioritize ads over actual games. I mean rad should be at the table for whatever metaverse their trying to build they need gamers to develop the metaverse as much as social media programers because the metaverse is a gamified social media platform. This why horizon looks dry AF.

          • VR5

            Sony hasn’t put out more VR games than Meta. IGN lists 19 games by Oculus Studios but they’re missing Wilson’s Heart, Resident Evil 4 and Iron Man VR for example. There are more still.

            Valve has put out 2 and was working on two more. Surely you understand I had to list Valve for Alyx alone since it is the most high profile title, even when Meta has several titles in the same league.

          • kool

            Dude i dont think you understand Sony made 25 games for psvr alone not including the psvr2. When you talk about publishing it goes into the 50s including iron man which Sony published originally. Which is why it’s sad to see the psvr2 belly up right now. Meta puts most of its money into at research and is still learning how to be a gaming company. And idk why valve sucks so hard they could easily put out a standalone a release vr versions of counterstrike, halflife or whatever and get the ball rolling.

          • VR5

            As I said, the list on IGN is incomplete. Other Insomniac games also had Oculus Studio branding and funding. The Vader Immortal games as well. Superhot VR was a timed exclusive for Rift because of Oculus funding.

            Iron Man VR is one of the Sony funded games actually, Meta only paid for the port. Amount of games by Sony and Meta is similar but Oculus has more high profile games. Sony’s list is inflated by short and free experiences like The Last Guardian, Godzilla, musical experiences like those for Joshua Bell and Hikaru Utada.

      • FullMetal3000#notmaga

        Most meta games are trash and for little kids

        • VR5

          You claim is absurd. Try to prove it with a list.

        • ViRGiN

          Most pcvr games are desperate asset flips that haven't had a single user playing them for over 6 months.

        • shaunkahler

          Accurate

  • xyzs

    Meta: How to transform cheap gold into over-expensive shit.

    These guys are really king at pouring billions into VR assets to just get zero or low quality content as a result.
    Just leave medium size studios do what they do best, which creating content, and let them use your platform to develop, sell and thrive with mutual respect.

    Just focus on the hardware and OS… That's all you need to do to succeed!

    • ViRGiN

      If they are pouring billions, then valve could do a better job for couple hundred millions… But they don't.

      • kool

        Bro pouring billions into VR then killing of one it's best devs and communities is bad business. But tell us more about valve. All this shows is that Meta doesn't care about gaming, he's chasing that metaverse money while gimping the actual vr industry that exists.

        • ViRGiN

          If they were the best devs, they would create another best vr game, and Meta wouldn’t get rid of best studio, don’t you think?

          Valve made the best pcvr game 4 years ago and haven’t touched it since. What does it mean? They are gimping VR industry. The people are up for grabs. Why not be the good guy and give them all jobs with SteamVR?

          • kool

            Meta isn’t a gaming company so yes they shut down their best dev while they were working on the next game. Valve had nothing to do with meta shutting down rad. Meta is spending hundreds of billions on a metaverse, it doesn’t see vr gaming as a big part of it why else would they not release a single game from their internal studios?

          • ViRGiN

            Flat2VR confirmed Meta is sponsoring a few of their ports. It looks to me you’re just butthurt about Meta decision to close down this studio, AFTER NO NEW GAME RELEASE IN NEARLY THREE YEARS.

            Are you going to hate on Meta for laying off near everyone at Downpour, the people who worked on “Onward”?

            Show me all these Valve VR projects. Valve is a gaming company, isn’t it?
            Valve drops projects entirely if it doesn’t make billion dollars in first 3 weeks. Remember Valve Movies service? Where is it now?

      • Peter vasseur

        You suffer mental problems. How much doesn’t zuck pay you to whore yourself
        For meta?

        • ViRGiN

          Gayben

    • shaunkahler

      What they really should have done a long time ago is to sell Oculus to Valve or another companies who actually has a clue. Their biggest problem is being completely out of touch with their target audience – look at Facebook games as a prime example

  • Andrey

    I never really was a Meta fanboy, but it seems it's time to start to be a Meta hater.

    When Sony did all those strange or plainly stupid things regarding PS5, PSVR2 and VR in general I always though "Well, at the very least Meta is not doing something like THAT". They bought some studios, released some games, announced some games here and there. The whole process wasn't so fast and fascinating as I wanted it to be, but slowly and steadily it still was going forward. Of course there were moments when they did their share of stupid things, but closing the only one studio that was capable to create AAA level VR games on par with Valve's HL Alyx that it also was exclusive to Meta platforms… It's something that I personally won't be able to forgive.

    Just like after layoffs at Ready at Down I wish all developers that were affected by this totally retarded decision to stay strong. Really hope that all of them will find a new, much and much better place to work at and they will create something on par – or even better! – than their Lost Echo series. Hell, if I was a VR game developing studio owner all of them would get offers by now!

    As to Meta… Now we live in the world where there won't be Lone Echo 3, but most certainly will be another Asgard's Wrath 3, now with 120 hours of "gameplay" (even more puzzles, longer empty corridors and live-service bullcrap!). It seems that VR never reached it's Golden, even Silver Age, and now making a deep dive into modern state of "flat" gaming industry with microtransactions, battle passes and all of that. What a time to be alive…

    P.S. – *&^% you Meta.

    • NL_VR

      Weren't you the guy that just wanted to play VR games as flatgames? You couldn't have enjoyed Lone echo then.
      in other view, I dont think ready at dawn at all was that talented anymore that's why they got closed down.
      if Sansaru can make Asgards wrath 2 for Quest Ready at dawn would be up to doing something maybe LE3 but apparently they can not deliver. Because if there would be anything good in their pipeline Meta wouldn't close it down

      • ApocalypseShadow

        Sansaru made a game that Facebook gave away with every Quest 3 purchase. I know because I got it for free with mine. What's the sales numbers?

        Sure, they made the game for Quest 2. But it was a downgrade of the first game. And not pushing Quest 3 even after a texture patch. So, it's like, where are the Quest 3 games?

        They could have easily allowed Ready at Dawn to create a game for Quest 3 and give it away like that did Asgard's Wrath 2. They're already billions in the whole anyway subsidizing VR and their headsets. What's a few more million for a high quality game from a developer that knows how to make them? But now they're shuttered.

        It did look like they bought them to keep them off PlayStation. Just as Microsoft bought all those companies to keep off PlayStation. Many of which made VR games. But because of Microsoft, none of those developers make VR games anymore.

        And when Facebook bought Camoflaj, they not only killed the chance of an Iron Man 2 on other systems, they got them making a VR Batman game which is just a dig at the fact that Batman VR was a known PSVR game that sold the headset.

        • NL_VR

          If Ready at Dawn had anygame to show up for Quest 3 they wouldn't been shut down.
          I just think theydidn't have any talented people left.
          lone echo 2 was good ok, but it was no real improvement from the first game, just a sequel that was pretty much the same even all these years between.

    • shaunkahler

      There's a reason they're square in the FTC's crosshairs – and are constantly being challenged not to acquire more companies

  • So basically they acquired a very talented studio, to before kill its most popular game, which created an entire new VR genre, and then kill the studio itself. Literally what the hell.

    • VR5

      If they hadn't acquired RaD, Echo Arena would have been shutdown anyway because they would have run out of money. RaD chose to be bought. Not buying/funding a studio is in effect the same as "killing it", so Sony "tried to kill them" even earlier, when they stopped funding the studio.

      • shaunkahler

        Echo Arena was alive and well – those servers are not expensive to run at all. They had a huge player base and an online store which was getting used. I saw lots of players with in app purchases there, including myself. It was a major surprise when they shut it down

        • VR5

          You think it was enough to sustain the studio? Not expensive is still an expense. How many is huge playerbase? How much did you spend monthly? How many new (paying) players?

          I really would like to hear from people at the studio, who are privy of the numbers, what they would have liked to do, and how viable that path would have been. All I know is they let themselves be acquired so that probably did make sense to the studio owner at the time.

  • PAUL Bellino

    This is just plain Retarded. What a Total Waste. One of the best game studios under-utilized and left to rot by Meta.

    • VRDeveloper

      I fully agree that Studio was amazing, but the reason for large companies to do this is very intelligent; They buy these companies and then move the most talented employees to important sectors within the company, then close the studio and ciam only with the best talents, maybe in the future this practice will become a crime, I think it is very dishonest, but logic makes sense.

  • david vincent

    And what about the two other VR games promised by Valve ? Still no news ?

    • Rosko

      the new was some years ago there are no other vr games from valve, they scaped them.

  • Peter vasseur

    Oh no the quest 3 is dead. Meta closed a studio that made be games. So the quest three is dead now, they’re abandoning it. See it’s all over got meta now. You all got ripped off, if you bought it. Sad sad day, rip
    Quest 3.

    • ViRGiN

      I'm glad i bought valve index and psvr2, the most supported headset ever. Nothing can beat the power of uevr and it's 11000 games. Who cares if the vr industry collapses? I have more games than days to live.

    • Acurisur

      The Quest 3 is dead? Batman Arkham Shadow says hi, that AAA VR game you can't play, Hitman VR Reloaded says hi, Assassin's Creed Nexus says hi.

      The idea that Meta would abandon VR is as absurd as your entire post buddy, Meta are the only ones trying to bring VR to the masses.

      Valve and Sony on the other hand have done nothing to bring VR to the masses.

      • Peter vasseur

        Sarcasm, just trying to see what it’s like for all the people who act the same way about psvr2. Just shows the ignorance and stupidity of it all.

  • Rosko

    Lone Echo was boring, the second game lacked vision not really a big loss to vr.

  • ViRGiN

    Gayben

    • kool

      Cha ching!

  • sfmike

    Wasted money through bad management seems to be a major feature of big corporations these days and then to make shareholders happy they screw over their customers with poor service and products. The American way.

  • Echo VR could have been something huge if Meta had anyone with brains. I don't know how you can let such a great game with so much potential just die for no reason. Instead they focus on Horizon which nobody gives af about.

    • ViRGiN

      It has so much potential, that not even Valve developed a similar game. How can they be so stupid?

      • Valve may have a reason for not making an Echo Vr clone. It still doesn’t change the fact that meta had an opportunity to make something truly great.

        • ViRGiN

          Yeah, for clearly a niche userbase.
          I, for example, had zero interest in Echo VR.

          As much as I dislike closing games as everyone else, it’s an opportunity for everyone else. I think Gorilla Tag devs announced working on spiritual successor or something like that a while ago.

  • shaunkahler

    Another death by acquisition. 21 years. WOW. Echo VR was extremely fun – there was literally no reason to shut it down. In app purchases alone could have kept those servers alive and they brought and retained tons of VR customers for Meta.

    Why in the world is it these liberal idiots have managed to get so much power and influence in the tech world? There's only one explanation for them shuttering, which was that they were actually cool, unlike the rest of the company formerly known as Facebook. It's embarrassing and sickening to watch them repeatedly kill off companies, even their own ambitions, left and right, for the purpose of perpetuating their Nazi-like power trip