Meta halts program for third-party Horizon VR headsets.

Meta has decided to put its program on hold that allowed other hardware manufacturers to license its VR operating system for creating their own headsets. This initiative, which was introduced in April 2024, aimed to license the Quest OS—now rebranded as Horizon OS—to companies like Lenovo and Asus. At the time, Meta expressed that this move would enhance consumer choice and expand the ecosystem for developers. CEO Mark Zuckerberg emphasized the vision of an open model shaping the future of computing, particularly in relation to the metaverse and related devices.

However, the focus has now shifted back to Meta’s own hardware and software development. A spokesperson stated that the company is prioritizing the creation of top-tier first-party products to push the VR market forward. They mentioned a commitment to this direction for the long haul, with plans to reconsider third-party partnerships as the industry progresses.

Additionally, Meta has postponed the release of its mixed reality glasses, codenamed “Phoenix,” from late 2026 to early 2027, and is reportedly starting development on a new Quest device. Internal communications suggest that the company may cut up to a third of its metaverse budget next year, with a spokesperson indicating a shift in investment focus from the metaverse to AI-driven glasses and wearables.