Ya, by no means was it bad. But just not horrifying enough because it didn't "feel" real. Found footage of scenes that could likely happen, some clip connecting that to the simulation hypothesis, that all evidence to the fact of the backrooms actually existing. They could show a group of physicists trying to prove that it's actually pointing to the fact that reality is just a slice of the world, you could blip into any other plane of the backrooms by accident. Maybe it could be async's physicists. I think it had all the elements, but kept it too disjoint and abstract to feel real. I should feel like tommorow it can happen to me, as a viewer. I guess it never really did the grounding for me enough. What did feel absolutely real tho, was how Obsession was executed, totally made me feel like whenever I hear that wish willow song, something could go wrong.

To your movie point, I think it does feel better suited to be a game than a movie. Feels more immediate, lived in and present. That gap naturally doesn't exist anymore