People Can Fly Phases Out VR Publishing, Citing Reduced Investment From Platform Owners

People Can Fly, the publisher behind Bulletstorm VR and Green Hell VR, will stop publishing VR games after this year.

The Warsaw-based studio recently confirmed it's phasing out publishing VR titles once the next game from developer Incuvo, currently known as Project Bison, releases in Q4 2025. Spotted by MauroNL, People Can Fly says its market analysis found a “significant reduction in investments in the production of new VR games by VR hardware platform holders.”

As such, People Can Fly explained that this negatively affected its assessment, leading to this decision. Therefore, the studio “will not commission Incuvo with development work on the production of new VR games,” and further activities related to publishing VR games will not be carried out. People Can Fly's other subsidiaries will stop working on VR development, though it notes Incuvo is excluded from this.

It's not particularly clear what will happen with the People Can Fly-owned studio long-term following this news. Alongside Bulletstorm VR and Green Hell VR - the latter of which recently added a co-op mode on Quest and PS VR2 - Incuvo's previous work also includes working with Bloober Team on Blair Witch: Oculus Edition and Layers of Fear VR.

People Can Fly's statement also underlines an increasing concern about wider investment. While the studio doesn't name Meta or Sony specifically in this report, this suggests funding isn't as readily available from either company as it might have been previously for other Quest and PlayStation VR games.

With the wider video game industry facing mass layoffs these last few years, which includes numerous VR studios - People Can Fly's move could be interpreted as a means of avoiding such measures. It's something we've recently seen with PowerWash Simulator dropping VR support, a decision developer Futurlab advised was made for the team's job security.