The XR Weekly Update (March 18, 2025): Niantic Sells Pokémon Go, Meta Launches Passthrough APIs, and More!

This week has been nothing short of action-packed for me, and in the best possible way. On top of my already bustling schedule, Meta decided to release camera access for Quest, and there was simply no way I could miss out on diving into that! So, let’s explore some of the coolest XR news this week, which is quite abundant. Stay with me until the end—there’s a giveaway waiting!

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## Major Highlights of the Week

### Niantic Sells Gaming Division to Scopely

In a surprising move, Niantic, the maker of Pokemon Go, sold its entire gaming division to Scopely for a whopping $3.85 billion. Scopely’s parent company, owned by Saudi Arabia’s Public Investment Fund, means that Pokemon Go is now linked to the Saudi monarchy. Niantic plans to direct everything toward its geospatial technologies, blending AI, AR, and more. The newly formed Niantic Spatial starts out with $250 million in funding—a bold pivot indeed. With their biggest moneymaker in Scopely’s hands, Niantic is placing a bet on the lucrative future of XR. This shift implies their confidence that AR will turn profitable soon. While the move is gutsy, there’s an inevitable risk if the tech adoption takes longer than expected. It’s a leap without a safety net, but kudos to John Hanke for the courage to push forward in the XR domain.

### Meta Launches Passthrough APIs for Quest 3/3S

Meta has officially rolled out its Passthrough APIs, opening up camera frame access for Quest developers. The functionality allows mixed reality apps to perceive user surroundings, and AI models can analyze camera images. This feature, released as part of the Quest SDK and runtime, includes sample projects for developers to experiment with. Despite being an experimental feature and thus not yet eligible for Horizon Store releases, this looks set to simplify cross-platform app development. We’ve seen similar approaches from others, like Google, with wider Android XR strategies, paving the way for promising cross-device capabilities.

### VR Games Showcase: March 2025

Jamie Feltham’s VR Games Showcase brought a slew of enticing VR gaming announcements. From VR adventures with virtual companions in “Stay: Forever Home” to an exciting new Hitman trailer for PSVR 2, the event left plenty to look forward to. Notably, the sci-fi horror “Memoreum” is on its way to Quest, promising thrills come September. We also have Flat2VR Studios announcing VR adaptations of well-loved flat-screen games, reinforcing the momentum in VR gaming.

### Ultraleap is Dissolved

It’s unfortunate to hear that Ultraleap has been dismantled into parts. Once a promising startup in haptics and hand tracking, parts of its tech have been sold to Roli, and more to SIM IP, marking a rather sad end to its standalone story. While the company declined to comment, it seems a reflection of the tough conditions for such niche innovations in the current market.

### Samsung’s Upcoming Headset

Details are emerging about Samsung’s upcoming Project Moohan headset, indicating the inclusion of their own motion controllers. As developers can potentially transfer VR content more easily to Samsung devices, this move suggests Samsung values a user-friendly transition for apps across different devices.

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## Industry Buzz

### Meta’s Horizon Worlds Struggles

A New World Notes report highlights ongoing challenges for Meta’s Horizon Worlds. Developers are not truly engaged in the platform, showing a disconnect between leadership and hands-on experiences with VR worlds. This raises questions about Meta’s strategy and prompts reflection on better supporting the broader Quest ecosystem.

### Google Eyes Acquiring AdHawk

Bloomberg reports that Google is buying AdHawk Microsystems, known for non-optical eye-tracking technology. This acquisition highlights Google’s commitment to XR and its interest in privacy-respecting innovations.

### Valve’s Wireless Dongle Development

Valve’s “SteamVR Link Dongle” is set to enhance wireless PC VR reliability, a promising venture ahead of their Deckard headset. Interestingly, collaborations mean more headsets could soon enjoy Steam VR games via wireless links.

### Meta’s Micro Gesture Support

Building on this week’s innovations, Meta’s SDK now supports micro-gestures—subtle finger movements allowing more fluid interactions with MR apps.

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## Observations from SXSW 2025

SXSW 2025 dazzled with immersive storytelling showcases. Notably, Charlie Fink provides an insightful piece worth a read on these creative experiences.

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## Game Sales Bonanza

If you’re game shopping, now’s the moment! With eye-catching sales on Steam and Horizon Store, don’t miss a chance to snag titles like Half-Life: Alyx with substantial discounts.

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## Game Reviews and Release News

Rounding up notable content, titles like “Waltz Of The Wizard” and “Path of Fury — Episode I: Tetsuo’s Tower” make their mark. Plus, “Quantum Threshold” brings accessibility-focused gameplay, and “Penguin Festival” aims for charm on its way to Quest and Steam.

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## Additional Tidbits

* Vicon showcases a new markerless tracking system.
* D-Link’s dongle issues emerge with new Windows versions.
* Tyriel Wood reviews an affordable new haptic suit.
* XPANCEO unveils smart contact lens prototypes, and Brendan Iribe’s AI venture, Sesame, earns accolades.

Lastly, Mythic Realms fans: we have two exclusive game keys as a giveaway! Try to snag them while you can. Remember to support developers by grabbing a copy if you miss out.

And as always, reflecting on current global challenges, I encourage support for the Red Cross’s humanitarian work in Ukraine. Find a moment for generosity, and let’s continue seeding positive change through innovation and community support. Keep gaming and stay curious!