It looks as though the brutality of the video game industry is set to continue into 2026, with news surfacing that tech-giant Meta has started closing multiple studios, including both Twisted Pixel and Asgard’s Wrath developer Sanzaru Games.
*Update: Gematsu is reporting that they have confirmed the closing of Twisted Pixel, Sanzaru, and Armature
Andy Gentile, a long time designer for Twisted Pixel has shared that he’s been laid off via Linkedin. He said “I’ve just been laid off. It appears the entire Twisted Pixel games studio has been shut down along with Sanzaru Games and Armature too.”
Twisted Pixel is a studio that holds fond memories for me, particularly with their release run back on Xbox 360, with Splosion Man, Ms. Splosion Man and Comic Jumper, all of which I played and quite enjoyed. Most recently, they developed the latest Deadpool VR game, which was mostly warmly received.
The closure of Sanzaru Games is also surprising, considering that Asgard’s Wrath 2 was the big game to get when Meta Quest 3 launched back in 2023. What this means for the future of VR and Quest hardware going forward is anyones guess.
How do you feel about Meta shutting down multiple VR studios? Let us know in the XboxEra Forums or make some noise in the lively XboxEra Community Discord Server. If you’re looking to be a bigger part of an amazing community, then either choice is a good one!
