I think the discussion around VR/AR sometimes misses the forest for the trees. Yeah, existing products are mostly sucky/very niche, and the existing direction for the entire sub-industry seems very unlikely to break into the mainstream.
But that's not to say it's not possible for a mainstream-successful iteration of the idea to exist. My personal feeling is that there is a viable path to mainstream success, though it's far from guaranteed that a player succeeds in taking said path.
The real question IMO isn't "can VR/AR be made mainstream successful" (this is largely unknowable until someone does it), the question is "can FB be the company that makes VR/AR mainstream successful".
And IMO the answer has always been no. If there is viability in the entire subfield I think Meta is poorly positioned to be the tip of the spear.
Its fundamental business model works against the interests of good products in this field (stuff every virtual surface full of ads! Inescapable eyeball tracking for MAXIMUM CONVERSION ATTRIBUTION!!!1one) - one can make a (good) argument about the implications of Meta's VR play with the interests of humanity, but I don't think we even need to get that deep. Their business model fundamentally is at odds with creating compelling products in this arena. So much of their product strategy seems to be stuck in the hole of "what is good for Meta" instead of "what is good for users".
And then there's seemingly the perennial issue of FB not being able to ooze any kind of desirability or cultural cachet, which is deeply necessary for any of this to reach the mainstream in a big way. Everything it touches, even before the VR/AR pivot, is like an even more corporate and dead-eyed version of EPCOT.