Meta separates the Supernatural VR fitness application following a $400 million acquisition.

      Meta is spinning off Supernatural, the VR fitness application it purchased for an estimated $400 million in 2023 following an antitrust battle with the FTC, into an independent entity called Supernatural Health. This new company, led by the app's original founders, is set to relaunch this fall with increased subscription prices.

      In 2023, Meta engaged in an eight-month antitrust legal struggle with the Federal Trade Commission to secure the acquisition of Within, the studio behind Supernatural. The deal was reported to be valued at approximately $400 million, with Mark Zuckerberg even testifying in court to support it.

      Now, less than three years later, Meta is divesting the app. On June 3, the company announced that Supernatural would become Supernatural Health, under the leadership of its original creators. A refreshed version of the app is expected to debut this fall on the Meta Quest platform, while Meta's version will be discontinued on December 3.

      This scenario is a rare example in the tech industry where an acquired product survives, despite the convoluted journey it took to achieve this outcome.

      **From courtroom victory to content halt**

      The FTC attempted to block Meta’s acquisition of Within in July 2022, claiming that the deal would hinder competition in the emerging VR fitness sector. A federal judge did not concur, allowing Meta to finalize the acquisition in February 2023.

      Supernatural initially flourished within Meta, offering engaging boxing and bat-swinging workouts set against expansive virtual backgrounds. It developed a loyal user base, especially among older adults and those with mobility challenges who found in VR a more enjoyable approach to exercise.

      However, in January 2026, Meta cut about 1,500 jobs within Reality Labs, eliminating nearly 10% of the division's staff. This move resulted in the closure of three VR game studios—Twisted Pixel, Sanzaru Games, and Armature Studio—and Supernatural was placed in maintenance mode without new workouts, songs, or features, leading to the layoffs of its coaches.

      These layoffs were part of a larger shift in strategy away from VR toward AI-driven wearables. By May, Meta had eliminated an additional 8,000 jobs across the company, redirecting substantial resources into AI development. Reality Labs, which has reported approximately $90 billion in operating losses since its inception, was no longer seen as a priority for Zuckerberg.

      **Community response**

      Supernatural’s user community did not accept these changes passively. A Change.org petition requested Meta to either continue investing in the app or permit the team to establish it as an independent subscription-funded entity. Users in the app’s Facebook community shared personal accounts of weight loss, chronic pain management, and mental health benefits linked to using the platform.

      One user expressed their feelings in the public Supernatural Facebook group after the spinoff announcement: “We all felt like it was purchased to kill. I am such a sap. Why am I tearing up?”

      This scenario is not uncommon; large tech firms frequently acquire products, subsequently neglect them or dismantle them, leading to shutdowns as documented by various dedicated websites. What differentiates Supernatural is that Meta opted to allow it to operate independently rather than simply discontinuing it.

      **Changes with Supernatural Health**

      The new company aims to reintroduce the original coaches and uphold the app’s core values. According to Supernatural Health's website: “Same coaches, same DNA, same obsession with making fitness feel like the best part of your day.”

      However, subscription prices are set to increase, with the annual fee rising from $100 to $180 and the monthly plan from $10 to $20, as reported by Engadget. It remains to be seen whether this price hike accurately reflects the actual costs of running the service without Meta’s support or if it represents the premium of functioning independently.

      There are also uncertainties regarding whether Supernatural Health can grow beyond the Meta Quest platform or what the smaller team can manage in terms of content production. The existing library of over 3,000 workouts will transition over, but the challenge lies in whether an independent studio can meet the demands of music licensing and production once covered by a $400 million Meta acquisition.

      **Lessons learned from acquisition challenges**

      This entire situation serves as a case study in the pitfalls of major tech acquisitions, not due to product failure but because the acquiring company's focus shifts. For instance, Meta had to reverse its $2 billion acquisition of AI startup Manus after it was obstructed by Chinese regulators, resulting in the total loss of that investment. Similarly, the GIPHY acquisition concluded with UK regulators mandating a forced sale.

      Supernatural represents a softer variant of this narrative—Meta fought for its acquisition, succeeded, and ultimately decided it no longer wanted the product.

      For the users who incorporated the app into their daily routines, corporate decisions are secondary; they regain access to their workouts, albeit at almost double the previous cost. Whether Supernatural Health can