CoStar Group's acquisition of Matterport in 2023 was a watershed moment for the virtual tour industry. Here is an honest assessment of what changed, what risks exist, and whether Matterport is still worth the investment.
The CoStar Acquisition Timeline
- 2023: CoStar Group completes acquisition of Matterport for approximately $1.6 billion
- 2023-2024: Integration period — Matterport operates as a CoStar subsidiary
- Late 2024: Zillow removes Matterport 3D tour integration from its listings
- 2024-2025: VHT Studios (a CoStar-owned real estate photography service) is shut down
- 2025-2026: Reports of billing concerns surface in user communities
What Changed After the Acquisition
Zillow Removed Matterport Tours
The most impactful change: Zillow stopped supporting Matterport 3D tours in its listings. Since CoStar owns Homes.com (a direct Zillow competitor), Zillow viewed Matterport integration as indirectly supporting a rival. For real estate agents who relied on Matterport tours appearing on Zillow — the largest US real estate portal — this was a significant blow.
VHT Studios Closure
CoStar shut down VHT Studios, which had provided real estate photography and virtual tour services. Clients of VHT found themselves needing to transition to new service providers, raising concerns about the stability of Matterport-adjacent services under CoStar.
Billing Concerns
Multiple users in industry forums reported billing issues after the acquisition, including difficulty cancelling subscriptions and unexpected charges. While billing disputes happen with many SaaS platforms, the volume of complaints raised questions about customer service quality under new ownership.
Platform Lock-In Risk
With CoStar controlling Matterport's platform, there is an inherent risk that pricing, features, or data portability could change in ways that disadvantage users. CoStar's primary business is commercial real estate data, and Matterport's 3D spatial data is enormously valuable — raising questions about how that data might be monetized.
What Has NOT Changed
Despite the ownership transition, several things remain true:
- The technology is still best-in-class — No competitor matches Matterport's combination of visual quality, dollhouse view, measurement tools, and ecosystem breadth
- The Pro3 camera is still excellent — Hardware quality has not degraded
- The platform still works well — Core scanning, processing, and sharing workflows remain functional
- Market adoption remains strong — Matterport has been used to scan over 10 million spaces globally
Is Matterport Still Worth It?
For most users, yes — with precautions:
- The technology remains the market leader for virtual tours
- No alternative offers the same combination of features
- The ecosystem (cameras, integrations, API) is mature and well-supported
But protect yourself from lock-in:
- Always request raw scan data (E57, OBJ) alongside the Matterport tour
- Consider working with a platform-agnostic service provider (like THE FUTURE 3D)
- Keep backups of your MatterPak data
- Monitor pricing changes and be prepared to evaluate alternatives if costs increase significantly
THE FUTURE 3D's Platform-Agnostic Approach
THE FUTURE 3D delivers scan data in open, portable formats — E57, OBJ, LAS, XYZ — that are not tied to Matterport or any single platform. If the Matterport business model changes in ways that do not serve your interests, your spatial data remains fully usable in any compatible software.
We use Matterport because it produces the best virtual tours on the market. But we are not locked in, and neither are our clients. Contact us for a free consultation about protecting your 3D data assets.