nDreams, the studio responsible for VR experiences such as Reach and Ghostbusters: Rise of the Ghost Lord, has announced significant operational changes, including the closure of two internal studios and layoffs across its teams. The move positions nDreams Elevation as the central focus while acknowledging the persistent challenges in the VR gaming market.
The closures affect 78 developers from Near Light and Compass studios, with restructuring efforts extending to executive and senior leadership roles. Despite these changes, a lean group will remain dedicated to XR research and development, ensuring continued innovation in the field.
nDreams' shift comes after its acquisition by Swedish tech company Aonic in 2023 for $110 million. Since then, the studio has released several notable titles, including Vendetta Forever and PowerWash Simulator VR, while navigating a market that has struggled to achieve widespread commercial success.
The decision reflects broader industry trends, where VR adoption has faced hurdles despite advancements in hardware simplicity and quality. While newer headsets like the Steam Frame could potentially revitalize momentum, economic factors such as rising memory prices may continue to limit accessibility for potential users.
Looking ahead, nDreams' restructuring is aimed at ensuring a commercially viable future. The studio's focus on core projects and XR R&D suggests a strategic pivot, balancing innovation with financial sustainability in an evolving market landscape.
