Z
illow has pulled Matterport 3‑D tours from its Zillow.com and StreetEasy listings after CoStar, which bought Matterport in April for about $1.6 billion, chose not to renew its API contract and altered its terms of service. Zillow says the new terms restrict the use of Matterport tours on sites that compete with CoStar, labeling the move a “data‑wall” that limits how agents can share content they pay for. The company claims only a small fraction of its listings are affected and that its own 3‑D Home tool remains available on and beyond its platform.

    CoStar counters that Zillow is misrepresenting the licensing terms. According to a CoStar spokesperson, the media rights for Matterport content have not changed; Matterport customers can still publish their Spaces anywhere, including Zillow. CoStar’s latest terms, updated September 29, prohibit using CoStar‑produced media on competing third‑party platforms but do not bar Matterport tours specifically. The spokesperson added that Zillow’s unilateral removal of tours harms its users.

    Andy Florance, CoStar’s founder and CEO, has repeatedly stated that Matterport tours will remain usable on non‑CoStar sites. In a May interview he noted that other portals such as Redfin and Realtor.com already employ the technology and that CoStar aims to build a large training model by keeping the data open. He emphasized that the company’s interest lies in expanding digital twins and capturing a share of that market.

    The dispute is part of a broader feud. In July, CoStar sued Zillow for alleged copyright infringement involving over 46,000 photos. Zillow removed the contested images in September, but both sides continue to exchange accusations in court. CoStar has clarified that the Matterport issue is unrelated to the photo lawsuit, describing Zillow’s actions as attempts to confuse customers and distract from its legal battles.

    CoStar also criticized Zillow’s recent policy to exclude publicly marketed listings that are not widely available to consumers, a stance that has drawn further criticism from Florance. The conflict underscores the tension between the two real‑estate giants over data access, licensing, and competitive practices.