DON'T NOD
DON'T NOD business and news from across the web.
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Report: Tencent mulling exits from multiple Japanese studios
Chinese conglomerate Tencent is reportedly considering selling off minority stakes in several Japanese game studios, potentially at a financial loss. This move is part of a portfolio reassessment aimed at refocusing on user-generated content platforms. While investments in PlatinumGames Inc and FromSoftware are reportedly safe, the future of other studios like Marvelous remains uncertain.
Tencent is reportedly looking to back out of several studio investments like Story of Seasons developer Marvelous, but…
Tencent is reportedly looking to divest from several minority investments in video game studios, including a 20% stake in Marvelous, the developer of Story of Seasons. This reassessment of its portfolio may involve selling stakes back to original management, even at a loss. Investments in studios like PlatinumGames and FromSoftware are reportedly unaffected.
French union STJV to commence national strike outside Quantic Dream
French labor union STJV is organizing a national strike on June 25, 2026, to protest widespread layoffs in the video game industry, particularly at companies like Ubisoft and Quantic Dream. The strike will begin with a picket outside Quantic Dream's Paris office, as the developer is reportedly planning to cut around 115 jobs. The union criticizes mismanagement, poor working conditions, and calls for government oversight on subsidies.
Rockstar's legal setback, Final Fantasy tax incentives, and PlayStation swaps 'PC' for 'AI' - Patch Notes #57
This week's gaming news includes Rockstar Games facing a trial date for union busting allegations, Sony Interactive Entertainment shifting its business strategy focus from 'PC' to 'AI' in SEC filings, and Microsoft's Xbox division reportedly preparing for studio closures. Additionally, Don't Nod is seeking new financing after Tencent withdrew short-term investment, Shibuya ward is offering Final Fantasy 14 in-game items for tax donations, and Epic Games is merging Unreal Engine 5 and UEFN into a unified Unreal Engine 6. The UK government is also set to implement a ban on social media for under 16s, impacting high-risk features in games.
Business and Finance
Don't Nod has stated it possesses multiple strategies to improve its financial standing, following a report from auditors detailing the company's cash flow challenges. The company is actively working to secure its financial future.
Don't Nod says it has "several levers" to secure financial position after auditors detailed cash woes
French developer Don't Nod is actively pursuing financing initiatives and cost optimizations to secure its financial position, following an auditor's report indicating potential cash flow issues by November. The company confirmed Tencent remains a shareholder but will not provide further investment, while Don't Nod seeks support for its in-development Project P14.
Don't Nod pursuing 'several levers' to secure financial future after Tencent decides against short-term investment
Developer Don't Nod is actively seeking financial solutions to extend its cash runway after Tencent decided against a short-term investment. The company is working to optimize its cost base and secure funding for 'Project P14' amidst a challenging industry environment.
Business and Finance
Auditors have warned that the game developer Don't Nod may run out of cash by November if it fails to secure additional financing. The company is actively seeking new funding to continue its operations.
Life is Strange creator Don't Nod look to be in hot water as a financial report says they'll be out of cash by November
French game developer Don't Nod, known for the Life is Strange series, is reportedly facing a severe cash shortage and may run out of funds by November 2026. Despite releasing five games in three years, recent titles have not performed well enough, and minority stakeholder Tencent is not providing further funding. The company is exploring options including seeking external financing, accelerating a new game's release, or taking on work-for-hire projects.
Rumour: Gaming Industry 'Bloodbath' Imminent, as Sony, Microsoft, and More Brace for Mass Layoffs
A report suggests that the gaming industry is facing imminent mass layoffs, with major publishers like Sony and Microsoft potentially cutting entire studios. French journalist Sylvain Trinel indicated that the current situation at Xbox is just the beginning of a larger 'bloodbath' for studios, also highlighting concerns for companies like Don't Nod, Quantic Dream, id Software, Bethesda, and BioWare. Speculation also points to potential issues for PlayStation studios such as Media Molecule and Bend Studio.
Auditors warn Don't Nod will run out of cash by November if it is unable to secure financing
French game developer Don't Nod is at risk of running out of cash by November if it cannot secure additional financing, according to its auditor. The company has sought capital from its largest shareholder, Tencent, without success, and has also failed to secure funding from other industry players. Don't Nod, known for Life is Strange, has previously restructured and made staff redundant.
Aphelion and Life is Strange developer Don't Nod in trouble as it struggles to secure funding for its next project
French studio Don't Nod, known for Life is Strange and Aphelion, is facing financial difficulties and may run out of cash by November as co-owner Tencent is unwilling to fund its next project or increase its stake. The company is seeking other publishers for funding, but discussions have not yet yielded commitments. This situation could lead to layoffs and a scaled-back development scope for its upcoming game, Project P14.
Life is Strange Creator Don't Nod Warned It Will Run Out of Funds This Year
Life is Strange developer Don't Nod has warned that it will run out of funds by November of this year unless a new source of funding is secured. The company is seeking new investment to continue its operations.
id Software, Bethesda, Quantic Dream and More to Face Major Layoffs, Studio Closures Soon – Rumor
Reports suggest significant layoffs are imminent across the gaming industry, affecting studios like id Software, Bethesda, Quantic Dream, and BioWare. Microsoft's Xbox division is expected to implement these cuts after its fiscal year ends on June 30th, with CEO Asha Sharma citing declining revenue and a need for increased accountability margins. These layoffs are described as potentially just the beginning of a larger industry downturn.
Hellblade Studio Ninja Theory to be Closed by Xbox, Negotiating to Go Independent – Rumor
Reports indicate that Xbox is planning to close Ninja Theory, the developer of the Hellblade franchise, as part of efforts to improve fiscal year accountability margins. Ninja Theory is reportedly negotiating to become an independent studio, similar to efforts by Double Fine and Compulsion Games. These potential closures and layoffs are expected to occur after Microsoft's fiscal year ends on June 30th, driven by declining revenues and rising hardware component costs.
Find balance in abstract puzzle adventure What Surrounds Us, launching July 15th on Steam
Florent Martinais, a former developer at Don't Nod, has announced that his new indie puzzle exploration game, What Surrounds Us, will launch on PC via Steam on July 15th, 2026. The game focuses on exploring a delicate ecosystem and solving environmental puzzles to restore balance without dialogue or narration.
There's one game Don't Nod narrative designer Nina Freeman won't ever uninstall from her PC, because it's banned on Steam: 'It's tragic, because everyone should play this game'
Narrative designer Nina Freeman discusses her PC gaming habits, highlighting Devotion as a game she will never uninstall due to its quality and controversial Steam ban. She also shares her most played game, Dota 2, and her appreciation for complex branching narratives in titles like Scarlet Hollow.
Gayming Awards 2026 Reveals Hosts, Guests, And Early Award Winners
The Gayming Awards 2026 will celebrate queer geek culture on June 8, hosted by Erika Ishii and Dawn. Trixie Mattel will receive the LGBTQ+ Content Creator Superstar Award, and Darion Lowenstein will be honored with the Gayming Icon Award for his work in authentic LGBTQ+ representation in gaming. The event will feature various segments, including a D&D-style scene, a ranking of video game characters, a custom PC build giveaway, and a reunion of the 'Gaymer Guys'.
Alien Disclosure: The U.S releasing the UAP files ties into gaming tropes rather nicely
The recent declassification of UAP (Unidentified Aerial Phenomena) files by the U.S. Department of War, FBI, and NASA has sparked discussions about their connection to gaming tropes. While no definitive proof of alien life was revealed, the release of reports from military personnel and astronauts, including transcripts from Apollo missions and sightings near military bases, highlights a growing seriousness in addressing these events. This influx of real-world mystery provides a rich source of inspiration for science fiction games exploring themes of space exploration, alien encounters, and humanity's place in the cosmos, as seen in titles like The Outer Wilds, Aphelion, The Expanse: Osiris Reborn, Exodus, and Kerbal Space Program.
Games Inbox: What’s the best video game to play when it’s sunny?
Readers discuss their favorite games to play during sunny weather, with Super Mario Sunshine being a nostalgic pick despite its European release date. Other topics include potential Star Wars Jedi 3 announcements, the feasibility of a large-scale Lord of the Rings RPG from Warhorse Studios, and the challenges of making retro games appealing to modern audiences. The discussion also touches on the Resident Evil movie's accuracy, Microsoft's shifting stance on exclusives, and Roblox fans' rejection of AI graphics.
