The Portal War: How We Got Here
The conflict began when CoStar Group — owner of Homes.com, Apartments.com, LoopNet, and other major portals — acquired Matterport for roughly $1.6 billion in 2025.
Matterport had spent a decade becoming the gold standard for 3D virtual tours, with millions of spaces scanned worldwide. It was platform‑neutral, widely adopted, and deeply integrated with MLS systems.
But once CoStar owned Matterport, Zillow faced a strategic problem: Matterport tours embedded on Zillow listings were now sending traffic to a competitor’s ecosystem.
Zillow’s Response: Removing Matterport
In October 2025, Zillow removed every Matterport tour from its platform — not a glitch, not a temporary outage, but a deliberate removal tied to licensing and competitive positioning.
Key facts:
- Zillow and CoStar did not renew their API agreement.
- Zillow pulled Matterport embeds from Zillow.com and StreetEasy.
- Around 1.2 million Matterport customers lost their primary U.S. portal distribution channel overnight.
Zillow framed the move as protecting its platform from sending users off‑site. Matterport framed it as Zillow choosing to block embeds. Either way, the result was the same: Matterport tours stopped displaying on the largest real estate portal in the U.S.
CoStar’s Strategy: Matterport + Homes.com
CoStar has been aggressively building Homes.com into a Zillow competitor. Matterport’s technology is now a core part of that strategy:
- 3D digital twins
- AI‑powered property intelligence
- Deep integration with Homes.com listings
- Enterprise‑level data infrastructure
Matterport tours still work everywhere except Zillow, including MLS sites, Homes.com, Realtor.com, and company websites.
CoStar’s goal is clear: Own the most immersive media stack in real estate and use it to grow Homes.com’s market share.
Zillow’s Countermove: Build Its Own Media Ecosystem
With Matterport gone, Zillow doubled down on its own tools:
Zillow 3D Home
A free, DIY virtual tour tool using a smartphone or Ricoh Theta. Basic, but gives listings a visibility boost.
Zillow Showcase
A paid premium listing format with:
- Pro photography
- Interactive floor plans
- Immersive virtual tour
- Priority placement in Zillow search
Zillow claims Showcase listings sell for ~2% more on average.
Zillow’s strategy: Control the media, control the listing experience, control the buyer journey.
The Fallout for Agents and Photographers
The removal of Matterport from Zillow created immediate ripple effects:
1. Agents lost a key distribution channel
Matterport tours no longer appear where most buyers start their search. Many agents shifted to Zillow 3D Home, iGUIDE, CloudPano, or Kuula.
2. Photography platforms scrambled
Aryeo even offered photographers a $50 credit to reshoot listings using Zillow 3D Home instead of Matterport.
3. Matterport became stronger outside Zillow
Builders, architects, insurers, and commercial clients still rely heavily on Matterport’s digital twin technology. Matterport remains the most advanced capture platform in the industry.
4. Pre‑construction developers pivoted
Since Matterport scans physical spaces, developers shifted toward:
- 3D sales platforms
- AR staging
- Apple Vision Pro walkthroughs
This trend accelerated after Zillow’s removal.
What This Means for the Future of Real Estate Media
The CoStar–Matterport–Zillow conflict is not resolved, and there is no announced timeline for restoring Matterport tours on Zillow.
The industry is now split into two ecosystems:
CoStar Ecosystem
- Homes.com
- Matterport
- Enterprise data + AI
- Commercial + residential synergy
Zillow Ecosystem
- Zillow 3D Home
- Zillow Showcase
- Zillow‑native floor plans
- Closed media environment
This is the first true “portal war” in real estate tech — and it’s reshaping how listings are marketed.
Bottom Line
- CoStar owns Matterport, and is using it to power Homes.com.
- Zillow removed Matterport and is building its own media stack.
- Matterport remains the gold standard, but its Zillow distribution problem is real.
- Agents and photographers must adapt, choosing tools based on where listings will be seen.
- The portal war is ongoing, and the next 12–24 months will determine who controls the future of real estate media.