Our venture backed startup is actively working on integrating web support back into Unreal Engine, as we see a huge opportunity for a easy cross-platform export target for developers.
We're working on a WebGPU backend right now for both UE4 and UE5, and have already upgraded UE4 to support WebGL 2.0 from 4.24-4.27, as support for HTML5 was removed back in the 4.23 release.
Another major innovation is we've imported a more improved compression format (Basis) as part of our pipeline, we've also created an asynchronous set fetching that only grabs the required data that a user needs to see at any given moment, streaming the rest of the assets in the background as necessary. This dramatically reduces load times, which was one of the biggest complaints with Unreal on the web previously.
Website for more info - https://theimmersiveweb.com/
Our Discord: https://discord.gg/cFJV6Yu