SK Telecom has announced it will shutter its ifland metaverse on 31 March 2025—marking the end of the platform just shy of four years since its launch in July 2021. The move reflects a strategic pivot to focus on AI as changing market dynamics reshape demand for metaverse platforms.
In a statement, an SK Telecom official commented: “We will further accelerate the transition to a global AI company by utilising the accumulated metaverse capabilities to strengthen AI competitiveness.”
Developed as an immersive meeting place, ifland allowed users to customise avatars, explore virtual spaces, and interact within the metaverse. Just last year, SK Telecom announced that it had secured partnerships with three leading tech companies to expand ifland.
Despite its initial promise, SK Telecom’s decision to sunset the project aligns with a broader trend of companies stepping back from heavily investing in the metaverse as challenges in user adoption and scalability persist.
SK Telecom pledges seamless wind-down of metaverse service
To ensure a seamless winding-down of services, SK Telecom has pledged to refund users for any paid content purchases, which include virtual items such as stones and customisations.
Users will have until ifland’s closure date on 31 March 2025 to apply for reimbursement via a dedicated application portal that will be detailed through both the app and the platform’s website in future updates.
Additionally, the company is taking measures to support users in preserving their memories from the platform, offering backup assistance for photos and videos shared in ifland.
According to SK Telecom, the lessons learned from ifland – including expertise in 3D immersive content production, global service deployment, and collaborative initiatives – will not go to waste. The company intends to integrate these capabilities into its AI offerings.
Changing winds in the metaverse sector
SK Telecom’s announcement signals a shift mirroring broader industry trends as the metaverse continues to see waning enthusiasm and slower-than-expected adoption.
Other South Korean carriers have already retreated from their metaverse ventures: KT discontinued its ‘Meta Lounge’ and ‘Genie Bus’ platforms in April and August, respectively. Meanwhile, LG U+’s corporate-targeted metaverse platform, ‘Metaslap,’ has seen delays in rolling out.
Outside of telecoms, major global technology companies are also scaling back metaverse projects.
Alibaba, the Chinese e-commerce and tech behemoth, was revealed in November to have reduced its investment into metaverse ventures. This follows earlier struggles faced by Meta in building sustained engagement within its own metaverse-focused initiatives.
Strategic focus shifts to AI
The metaverse, once heralded as the next evolution of digital engagement, has recently faced growing scepticism as both consumer demand and technology readiness fail to meet initial expectations. Instead, AI is emerging as the dominant force in reshaping industries, making it a natural pivot for tech companies seeking to future-proof themselves.
SK Telecom’s move exemplifies this transition as it capitalises on the metaverse expertise gained through ifland to bolster its AI capabilities. By focusing on the development of smarter and more innovative AI-driven services, the company aims to secure new growth opportunities.
In a competitive field dominated by the likes of OpenAI, Google, and Microsoft, SK Telecom’s ambitions to join the ranks of global AI leaders represent a bold strategic realignment.
The closure of ifland marks a significant shift, not just for SK Telecom but for the wider sector at large, as the metaverse fades from being a dominant priority to a less-central element of future plans. Instead, AI has cemented itself as the technology that will chart the next chapter for businesses seeking innovation and growth.
For its part, SK Telecom appears ready to harness its learnings from ifland to fuel this reinvention as it attempts to compete with AI leaders.
See also: NVIDIA launches Isaac Sim robotics platform on AWS
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