Meta’s journey into the metaverse is picking up speed as younger audiences and mainstream consumers reshape the Quest platform throughout 2024. Samantha Ryan, the Vice President of Metaverse Content, indicates that this evolution could lead to a significant rise in free-to-play content.
In a recent blog post tailored for developers, Ryan shared some intriguing insights from last year, highlighting how new users to Quest have spurred this transformation.
“Compared to the previous year, device sales saw an upswing in 2024, with people spending more average time on Quest 3S devices than any other headset at launch,” Ryan notes. “Moreover, spending on Quest devices increased, with a total payment volume on the platform up 12% in 2024, largely due to the booming growth of in-app purchases.”
These free-to-play games heavily rely on in-app purchases. A prime example is the breakout VR game, Gorilla Tag, from Another Axiom, which hit the $100 million mark in gross revenue last summer, primarily via in-game cosmetics.
“We’re creating a social-first platform where younger users are more inclined to engage with friends in multiplayer games and social hangout apps,” Ryan continues. “This trend is fuelling the rise of free-to-play games, a pattern previously observed on other platforms. Younger users are also increasingly engaging with Horizon Worlds.”
According to a recently leaked memo from Meta’s CTO Andrew Bosworth, the focus is clear: Meta is determined to make its social platform cross-compatible. The memo emphasized the critical need for the mobile version of Horizon Worlds to succeed for their long-term strategies to take flight.
Ryan elaborates, “We envision free-to-play (F2P) becoming a practical strategy for developers, who’ve mainly depended on premium apps until now. But we don’t foresee F2P eclipsing premium apps; rather, both models will likely flourish side by side.”
Despite these new developments, Quest’s core of VR enthusiasts, who demand top-notch premium content, “continues to be the bedrock of this expanding ecosystem.” These avid Quest users have driven a wave of device upgrades, accounting for 27% of Quest 3 and 20% of Quest 3S users during the year.
However, Ryan points out that most of the new devices sold in 2024 weren’t just upgrades by enthusiasts but were purchased by users entirely new to Quest. “Traditional VR enthusiast attributes no longer fully describe our Quest userbase,” explains Ryan.
Turning towards traditional media consumption, Ryan mentions that 2D apps and browsers historically haven’t seen much engagement on Quest devices, though this has been gradually changing.
“Since the launch of Quest 3, the use of 2D apps has been on the rise. Our continuous operating system enhancements, like multitasking, theater mode, and immersive audio, are aimed at this growing customer segment.” In 2024, Quest users spent 10% more time on media apps per month, and there was a 21% increase in the use of the default Internet browser.
This trend positions Meta and Quest at a crucial juncture as they strive to fulfill the high expectations for premium content held by early adopters, while simultaneously capitalizing on the increasing influence of free-to-play and socially driven content on revenue. The question remains whether Meta can find the right balance without alienating either side. What’s clear is Meta’s task to channel this growth while keeping both premium and casual users engaged.
