I can see the point in Lanier argument, however there is a much bigger problem for VR: There is no VR analog to Reddit, Instagram, TikTok, Youtube and Co. VR is still very much an activity in which you have to actively engage, you have to find a game that is interesting, load it up and play. You can't just casually doom-scroll in VR and have the algorithm find interesting content for you. There is no app for that. And the retention rates of VR aren't great either, as once you are done with a game, it's quite difficult to find whatever you'll do next.
For all the hype around Metaverse and Zuckerberg wanting 1 billion people in VR, there has been surprisingly little effort in finding out what those people would actual do when they have the headset on.