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Microsoft discontinues AltspaceVR amid widespread layoffs

As part of Microsoft’s ongoing reorganisation, AltspaceVR will be shutting down permanently in March. The website announced on March 8 that the virtual reality (VR) social area will be shut down permanently on March 10 in favour of Microsoft Mesh. It’s giving consumers one more opportunity to say goodbye and save their data before the service is discontinued.

In2017, when AltspaceVR ran out of money, Microsoft bought the struggling firm. To “transform our attention to enable immersive experiences powered by Microsoft Mesh,” the team has stated its intentions. Mesh is a new platform that aims to bring collaborative virtual reality to the workplace rather than specialising on consumer experiences.

Microsoft has started laying off employees across all of its products this week in an attempt to save money. Xbox, Bethesda Game Studios, and 343 Industries have all had to let go of people. Although the reason for the closure of AltspaceVR has not been made clear, CEO Satya Nadella recently wrote on the company’s blog that they will “continue to invest in strategic areas for our future, meaning we are allocating both our capital and talent to areas of secular growth and long-term competitiveness for the company, while divesting in other areas.”

Microsoft has provided customers with guidelines on how to archive their data and throw goodbye parties. A section recognising those who have spent a lot of time in Altspace was included as well, “it has been a privilege to help unlock passions among users, from educational opportunities for personal growth to the development of unique and wonderful events, groundbreaking art, and immersive experiences — enabling this community to achieve more.”