Seattle’s Rec Room Social Gaming Platform Shuts Down June 1, 2026 After $294M Funding and $3.5B Valuation

Seattle-based social gaming platform Rec Room, which attracted 150 million players and reached a $3.5 billion valuation in 2021, is shutting down on June 1, 2026 due to unviable business economics. Founded in 2016 by former Microsoft engineers, Rec Room built a decade-long virtual community but ultimately could not sustain its operations.