I saw an RGT85 video on this yesterday. He was skeptical of the application to Smash Bros, but he was just going off a rumor site and obviously hadn't seen this official video from Nintendo. It apparently has exactly what he was hoping for, being able to view the stage in VR without having to perform the battle yourself while doing it. Although it shows you can fight the CPU in VR, the video puts the highlight on view the stages while the CPU battles itself. So, his initial concern about it should be put at ease by that.

got my son labo vr for his birthday two days ago he really likes Zelda and watching smash battles in vr..he keeps asking if fortnite works with it also tho

This would be super cool if it worked in those online tournaments when you are spectating.