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It's massive. It's multiplayer. It's online.
But it's instanced. So if you go into content without party - you are doing it solo.
so how are players supposed to find to group up? is there a matchmaking for the instances like Warframe?
No the only multiplayer activity is trade, staring at each other mtx in towns and coop with up to 6 other friends. Eventually a consensual pvp duel.
Also, server chat is on (again, it was in PoE 1) and you could look for party there.
But it's fully playable solo. Again, like GW 1 is.
It's an MMO in a loosest sense, but we don't have another term for "Instanced Massive Multiplayer Games"
Instanced MMO, maybe?
How likely it is depends on popularity of that play style, in poe1 it wasn't used much by the player base.
https://www.pathofexile.com/forum/view-thread/55086
People "also" confuse the term with (since it's were it originated/was made popular) MMO "RPG". It's still mostly used in that context (yes, I know there are many genres attached now), but in many cases, quite improperly.