Layoffs
Ongoing coverage on Layoffs.
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Video Game Studio Don't Nod Entertainment Could Shut Down
Don't Nod Entertainment, the studio behind Life is Strange, is facing severe financial difficulties and may cease operations by January 31, 2027. The company is considering laying off up to 90 employees as part of a restructuring plan to address cash flow issues. Despite a minority investment from Tencent in 2020, the Chinese company does not plan further investment, leaving Don't Nod reliant on securing external financing to survive.
'No-one puts Double Fine out of business except me', says Tim Schafer on taking Double Fine independent:…
Double Fine has become an independent studio again after parting ways with Microsoft, a move initiated by new Xbox CEO Asha Sharma's significant layoffs. Studio head Tim Schafer expressed that while the games industry has harsh realities, he is determined to keep Double Fine afloat and sees the transition as a creative awakening, despite having to lay off 23 employees himself.
PowerWash Simulator devs FuturLab laid off staff and cancelled an unrevealed project earlier this year, but certainly kept quiet about it
PowerWash Simulator developer FuturLab has undergone a restructuring, resulting in the layoff of seven staff members and the cancellation of an unrevealed project that had been in development for several years. Studio leadership communicated these changes in company meetings, with some staff reportedly leaving without prior notice to colleagues.
Star Stable Entertainment reduces workforce by 20% to secure long-term future of its multiplayer horse adventure RPG
Star Stable Entertainment has laid off 20% of its workforce as part of a restructuring program aimed at securing the company's long-term future. Interim CEO James Watkins stated that reducing operating costs and refocusing resources is necessary for the multiplayer horse adventure RPG developer to adapt and grow.
Sources say another 10% price increase for Intel CPUs is on the way, and it could be here as soon as October
Sources indicate Intel is planning another 10% price increase for its CPUs, potentially effective October 5th, following a trend of rising hardware costs. This comes amid reports of a desktop CPU sales slump and potential layoffs at Intel, with the company reportedly prioritizing server CPUs due to the AI boom, which could further impact PC processor availability and prices.
Report: FuturLab makes layoffs without informing team leads or managers
FuturLab, the developer of Powerwash Simulator, has laid off seven employees following the cancellation of an unannounced project. Sources claim the layoffs were conducted without informing managers or team leads, and employees were asked to refer to those laid off as 'the leavers' instead of 'redundant'. Studio CEO Kirsty Rigden confirmed the layoffs were a difficult decision to protect the company's future.
Don't Nod might not have enough cash to make it through January 2027, and even if it does, pulling up could…
Developer Don't Nod is facing severe financial difficulties, with a material uncertainty about its ability to continue operating beyond January 31, 2027. Poor sales of recent titles like Jusant and Banishers: Ghosts of New Eden, coupled with increased development costs for a Netflix collaboration, have led to a significant decrease in operating revenue. The company is undergoing a restructure in France that may involve up to 90 layoffs.
"Material uncertainty" hangs over the future of Life is Strange developers Don't Nod beyond January 2027, as negotiations over potential layoffs begin
Life is Strange developer Don't Nod is facing significant financial uncertainty, with a "material uncertainty regarding the company's ability to continue as a going concern beyond January 31st, 2027." The studio is initiating negotiations for potential layoffs that could affect up to 90 staff as part of a transformation project aimed at refocusing operations. CEO Oskar Guilbert stated these measures are essential for the company's continued operations.
Don't Nod considering laying off 90 workers in France
Life is Strange developer Don't Nod has warned it may lay off 90 employees in France due to financial difficulties and systemic pressures in the video game industry. The company's operating revenue declined by 56 percent year-on-year, resulting in a significant operating EBITDA loss. Don't Nod is proposing a restructure to adapt to new market conditions and ensure its survival.
FuturLab cuts staff after cancelling non-Powerwash Simulator title
FuturLab has laid off seven employees following the cancellation of an unannounced project that was in pre-production. CEO Kirsty Rigden stated the cancellation was a financial decision to protect the studio's future, while sources claim employees were instructed not to use the term "redundancy" and refer to those affected as "the leavers."
DON’T NOD Announces Lay Offs Affecting Up To 90 Employees as Part of New Business Plan
DON’T NOD has announced potential layoffs of up to 90 employees as part of a new business plan and restructuring effort. The company cited profound changes in the economic conditions of the video game industry and its financing as reasons for the difficult measures, which are essential for its continued operations and long-term growth.
Bungie confirms that it is renting out its massive office headquarters in Washington
Bungie is attempting to sublease its massive headquarters in Bellevue, Washington, a move that follows multiple layoffs and reports of significant misspending. The 210,984 square foot building is being offered as a "turn key" facility with a master lease running through September 30th, 2035.
Tim Schafer: "No one puts Double Fine out of business except me"
Tim Schafer, head of Double Fine Productions, discussed the studio's efforts to regain independence from Microsoft following significant layoffs. He stated that the studio's mission changed after new leadership took over at Xbox, leading to the decision to part ways. Schafer emphasized the importance of creative problem-solving and keeping the team alive amidst industry challenges.
Fall’s Video Game Release Slate Is Intimidatingly Good And Completely Doomed
The Fall 2026 video game release schedule is packed with highly anticipated titles, but this glut is predicted to cause a 'bloodbath' in the industry. Intense competition for consumer dollars and a worsening global economy are expected to lead to significant underperformance, layoffs, and potential studio closures, particularly for smaller developers. Even major publishers may struggle to navigate the crowded market, with few likely to emerge unscathed.
Saber CCO Tim Willits blames layoffs on games industry overspecialization: 'Studios that have a couple hundred employees that work on one game are going to struggle'
Saber Interactive CCO Tim Willits attributes some of the games industry's current struggles, including layoffs, to an overreliance on large-scale games with highly specialized teams. He suggests that studios with a more flexible approach, able to move resources between projects of varying scopes and develop smaller, unexpected hits like SnowRunner, are better positioned for survival and creative success.
After a massive 2021 office expansion, Bungie is now trying to sublease its 211,000 square foot headquarters
Bungie is attempting to sublease its massive 211,000 square foot headquarters in Bellevue, Washington, which it expanded in 2021. The move comes after multiple rounds of layoffs and a shift to a digital-first and remote work model, rendering the large office space unnecessary. The company's overextension is highlighted as a contributing factor to the industry's recent cost-cutting measures.
Xbox CEO Asha Sharma is "not going to shoot my dog," says now-independent Double Fine boss Tim Schafer, who initially opposed Microsoft ownership because "you guys love closing studios"
Double Fine has regained its independence from Microsoft, with founder Tim Schafer expressing relief that new Xbox CEO Asha Sharma is not planning to close studios. Schafer initially opposed the acquisition due to Microsoft's history of studio closures, but found the experience under Phil Spencer and Matt Booty to be largely positive until recent leadership changes. The studio announced its new game, Thank You Bus Driver, shortly after regaining independence, though it also had to lay off 23 employees.
Bungie Confirms Plans to Sublease Parts of Its Enormous Bellevue Headquarters Following Mass Layoffs
Bungie confirmed plans to sublease a significant portion of its Bellevue, Washington headquarters following recent mass layoffs. The company stated this move aligns with its ongoing focus on a "digital first" operational model.
Bungie's studio is up for sublease after heavy Destiny 2 layoffs, which doesn't bode well
Bungie is looking to sublease the majority of its Bellevue, Washington studio space following significant layoffs and a shift to a digital-first employment model. This move reflects the reduced physical needs of the company's smaller team, with Destiny 2 development now focused solely on server maintenance and Marathon struggling to maintain an audience.
Volkswagen confirms cutting 50,000 jobs as part of its survival plan
The Volkswagen Group has announced a significant 'transformation program' that will involve substantial job cuts, potentially leading to 50,000 layoffs. This plan also includes the possibility of factory closures and the shutdown of certain brands as part of its survival strategy.