Spatial Abandons VR Meetings, Dives Headfirst into NFTs

Spatial made a major announcement on Tuesday. The company has shifted its focus and made a significant pivot into the world of NFTs. The company was built to create a virtual collaboration space for enterprises that brought AR and VR users together. It has now abandoned that whole idea and is doubling down on NFTs to become one of the leaders in this immerging new space.

"User feedback has always been at the heart of our product strategy, but over the last year since we launched our freemium version across any platform, we've witnessed a fascinating shift occurring," Jacob Loewenstein, head of business at Spatial. "We've gone from an AR/VR platform focused on enterprise productivity to a web/VR platform linking digital creators and the broader NFT economy. Why? Because the metaverse will be far beyond a meeting space. We're witnessing this trend in the creator economy from the inside and can see the huge opportunity as power moves into the hands of these creators."

NFTs are not new to Spatial. The company started hosting art galleries and exposes for up-and-coming NFT artists earlier this year. Now, Spatial is shifting its entire focus towards digital artwork. Spatial is no longer focusing on VR and AR with this new direction. The company said that 80% of its users come from web browsers and mobile devices. Before Spatial started offering NFT art galleries, 80% of its users used headsets to access the platform.

"Moving web-first also breaks down all the barriers to entry to the metaverse today, Loewenstein added. We believe in an inclusive and open metaverse where one day artists and creators can move freely across multiple virtual platforms with interoperable portals, avatars, and shared spaces."

NFT artwork is a massive craze right now, and Spatial is trying to fill a gap in the market. There are many locations to buy NFT art, but few places display NFT art. Spatial's gallery allows artists to host an event to show off their creations and potentially find a buyer, just like a real-world art gallery would. To make this shift, Spatial raised $25 million, which will give the company resources to rework its platform for the future of the metaverse.

"Since we shifted focus to building the metaverse for creators and artists, we've seen four times usage growth in just two months. This new round of funding will speed up our mission to make the internet more immersive, social, and fun. It's extremely rewarding to devote our energy to empowering creative individuals and lead this cultural paradigm shift in how people are sharing experiences with others," said Jinha Lee, Spatial co-founder, and Chief Product Officer.