Gorilla Tag Thrives Amidst the VR Winter

This is Lowpass, a newsletter exploring the dynamic intersection of tech and entertainment, delivered weekly to subscribers. The VR landscape has been tense since Meta’s significant layoffs earlier this year, with one executive describing the announcements as “one of VR’s darkest weeks.” Speculation about a potential VR winter is rampant, and several VR studios have also made substantial cuts to their teams. However, for Another Axiom, the creators of Gorilla Tag, it’s business as usual—monke business, to be precise. The game, which has become a staple on Meta’s Quest VR headset, hit a new peak this past weekend, with 119,000 players joining in for its five-year anniversary event simultaneously. “We believe we’ve set a world record for concurrent players in VR,” says Jake Zim, the chief marketing officer at Another Axiom. (While VRChat reported 150,000 concurrent users during New Year’s, that figure included players accessing its 3D worlds on traditional screens.) Gorilla Tag isn’t just about special events; it draws in nearly a million VR users daily. Most of these players are from Gen Alpha, engaging in frenetic games of tag, thanks to its distinctive arm-swinging movement mechanics. The free-to-play title consistently tops the bestseller charts on Meta’s Quest store. The game’s characters, affectionately known as monkes, have gained such popularity that Another Axiom often sells out of plush toys, with total merchandise sales nearing $10 million, according to Zim. “The fandom extends beyond just VR,” Zim shares. This growing interest is prompting Another Axiom to expand its horizons beyond headsets. The company is developing a mobile game, planning live events, and even working on a TV show. “We believe the lore and world of Gorilla Tag can tell countless stories,” Zim explains. However, there’s a flip side to these ambitious plans. After five years, and with no major titles to rival, Another Axiom’s executives are acutely aware of the potential limitations of VR, especially in light of Meta’s cutbacks, which cast uncertainty over the medium’s future. “VR as an ecosystem is facing significant challenges,” Zim admits. “With all the changes at Meta, we’re at a pivotal moment for VR.” This pivotal moment seems to have caught Meta off guard as well. For years, the company invested heavily in gaming, fitness, and social VR to make headsets mainstream. Some of these initiatives were successful, with Meta selling millions of headsets. The Meta-owned rhythm game Beat Saber generated over $250 million in revenue in 2022, and several other VR titles, including Gorilla Tag, have surpassed $100 million in revenue (“We’re significantly beyond that,” Zim notes, though he refrains from sharing specifics). Yet, Meta’s investment in its Horizon Worlds metaverse has not yielded the expected results, and many AAA VR games have seen their player bases shrink, leading to the closure of several internal VR studios. Instead, the VR space has welcomed a surge of younger players who favor chaotic free-to-play games over more polished, expensive single-player experiences. While many of these younger gamers have adopted Meta’s entry-level Quest 3S headset, overall audience growth has been “less rapid than we had hoped,” as Meta’s CTO Andrew Bosworth recently stated. These developments have prompted significant changes beyond last month’s layoffs. Meta is reallocating some of its substantial Reality Labs budget toward AR and wearables, and has reportedly postponed a lightweight headset designed for video consumption. Plans for third-party headsets from Lenovo and Asus have been scrapped, and resources for Horizon Worlds are being redirected to mobile gaming. Zim remains optimistic about the situation. “Scaling back on Horizon Worlds and allowing an indie, third-party app market to flourish is a positive move,” he asserts. However, he acknowledges that a lack of financial support from Meta could lead to a talent exodus. If the company opts not to release any subsidized, affordable headsets in the future, it could further hinder the VR industry. “2026 is a crucial year for us,” Zim explains. “It’s not just about surviving; it’s about connecting directly with our audience and placing them in environments that make sense for our business.” For Another Axiom, this also means exploring opportunities beyond VR headsets. The company brought on former Scopely executive Austin Ashcraft as its GM of mobile last year, with Zim emphasizing that “expanding onto non-VR platforms is a key strategic priority for us.” These efforts may extend beyond mobile. “We’re developing various unique versions of the game that honor the IP while adapting it to formats and media that resonate,” he adds. Last summer, Another Axiom also recruited Michael Vogel, who has experience with animated series like My Little Pony and Strawberry Shortcake. “We are committed to creating a TV show,” Zim confirms. While he didn’t divulge further details, he mentioned that the company has been producing its own web shows for YouTube, garnering tens of millions of views on their channel. Another Axiom is also testing new business models, recently launching a subscription service for superfans. Additionally, the company is moving forward with plans for a real-world event called Gorillacon—something Zim playfully hinted at on social media recently. “We knew the fans wanted it,” he states. “It’s definitely happening.” Zim didn’t provide more specifics, but if you’ve ever experienced the wild world of Gorilla Tag, you can bet it’s going to be an unforgettable event.