Torchlight 3 studio Echtra Games, acquired by Zynga in 2021 to help it move into PC and console gaming, is being closed without doing that

In a significant shift within its operational strategy, Zynga has officially announced the closure of Echtra Games, the studio behind Torchlight 3. This decision, confirmed in a statement to IGN, marks the end of development on future titles and a reduction in roles at the studio. Zynga described the move as a “difficult decision” that aligns with a broader realignment of the company’s resources and priorities.

Strategic Realignment and Future Directions

The announcement comes as part of Zynga’s ongoing efforts to streamline its operations. The company emphasized its commitment to treating impacted employees with respect and consideration during this transition. This closure follows a tumultuous period for Echtra, which was acquired by Zynga shortly after the release of Torchlight 3—a title that received mixed reviews, with some critics labeling it as “bland compared to the other options” available in 2020.

Initially, the acquisition was seen as a strategic move to bolster Zynga’s presence in the PC and console gaming markets. CEO Frank Gibeau had expressed optimism about the potential for Echtra to contribute to a cross-platform RPG in collaboration with Zynga’s NaturalMotion studio. However, this project never progressed beyond its initial announcement, leaving many to speculate about the future direction of both studios.

Notably, the closure of Echtra follows closely on the heels of another significant decision by Zynga: the shutdown of NaturalMotion’s Star Wars: Hunters, which was also slated for a Steam release. This series of closures and cancellations reflects a broader trend within the gaming industry, where companies are increasingly reassessing their portfolios and focusing on core competencies.

In a related context, Take-Two Interactive, Zynga’s parent company, has also faced challenges, including a workforce reduction of approximately 5% in April 2024 and the sale of its indie-style Private Division publishing division. The company’s share price experienced fluctuations, particularly following the announcement of a delay for the highly anticipated Grand Theft Auto 6, now set for a May 26, 2026 release on consoles, with no confirmation yet for a PC version.

As the gaming landscape continues to evolve, Zynga’s decisions reflect a calculated approach to navigating the complexities of development and market demands, with a clear focus on aligning resources for future growth.

AppWizard
Torchlight 3 studio Echtra Games, acquired by Zynga in 2021 to help it move into PC and console gaming, is being closed without doing that