severance packages Archives

AppWizard

August 21, 2025

2K cuts over 80 jobs at Cloud Chamber

2K Games has announced a workforce reduction at Cloud Chamber, impacting over 80 employees, or about one-third of the studio's staff, as part of a strategy to refine the development of the next BioShock installment. Rod Fergusson has been appointed to lead the studio and oversee the project. 2K president David Ismailer stated the importance of respecting the BioShock legacy while meeting fan expectations and noted the decision to downsize was made to rework certain core aspects of the game. Affected employees will receive communication regarding severance packages and support resources.

AppWizard

August 11, 2025

Bithell Games laying off 11 staff

Bithell Games is reducing its workforce by parting ways with 11 employees due to difficulties in securing new projects. This decision follows the launch of their title, Tron: Catalyst, in June. Founder Mike Bithell highlighted the challenges faced by smaller studios in finding financial backing for future projects. He emphasized communication with affected staff and offered severance packages to ease the impact of the layoffs. Bithell praised the skills of his team and encouraged other developers to consider the laid-off employees for future opportunities. Despite the layoffs, the studio's existing self-published games will remain available, and ongoing support for them will continue.

AppWizard

July 23, 2025

1047 pulls Splitgate 2 from sale

Developer 1047 has decided to withdraw Splitgate 2 from the market due to challenges faced during its premature launch. They plan to release an enhanced version of the game in early 2026, while current purchasers will retain access. The studio will also shut down servers for the original Splitgate in August as part of a strategy to streamline operations. The founders acknowledged the emotional impact of reducing certain roles and committed to providing severance packages and job placement support to affected employees, with hopes of welcoming them back in the future.

AppWizard

July 9, 2025

Ubisoft makes layoff at Red Storm

Ubisoft has announced a reduction in workforce at its Red Storm studio, eliminating 19 positions as part of a restructuring strategy for global cost efficiencies. The company emphasized the necessity of this move and stated that it is aligned with the studio's project needs. Ubisoft will provide severance packages, extended health-care benefits, and career transition assistance to those affected. The layoffs are specific to Red Storm, with no other studios facing cuts at this time. This is the second instance of workforce reductions at Red Storm, following layoffs in August 2024.

AppWizard

June 24, 2025

Ambitious Minecraft Competitor Hytale Canceled After Nearly 7 Years of Development: ‘This Is Not the Outcome Any of Us Wanted’

Hypixel Studios has announced the cancellation of Hytale, a game first unveiled in December 2018 and intended to compete with Minecraft. The studio, backed by Riot Games, is winding down operations following this decision. Despite initial excitement and a trailer that garnered 61 million views, development faced significant challenges, leading to the conclusion that the game could not be realized as originally promised. Co-founder Noxy expressed disappointment and noted that attempts to reduce the game's scope or delay its release were ultimately dismissed. Riot Games also sought potential investors to rescue Hytale, but these efforts were unsuccessful. Affected staff will receive severance packages and support for their future endeavors.

AppWizard

June 24, 2025

Riot Games shuts down Hypixel Studios and ends development of Hytale

Hypixel Studios has announced the cessation of development on the game Hytale, effective immediately. The decision was made because the team realized they could not deliver the game as originally envisioned. CEO Aaron "Noxy" Donaghey stated that the evolving genre and rising standards for game development contributed to the halt. Despite the disappointment, Donaghey expressed gratitude towards Riot Games for their support, including offering severance packages and assistance in finding new opportunities for affected employees.

AppWizard

March 31, 2025

Myst maker Cyan Worlds has made layoffs

Cyan Worlds has reduced its workforce by half, eliminating 12 positions due to challenging industry conditions. The management acknowledged the difficult situation and maintained open communication with the team about potential challenges. They offered severance packages to affected employees and invited other developers to consider the available talent. The studio's focus is on securing financing for their next project and stabilizing operations.

AppWizard

February 18, 2025

Report: Funko Fusion dev 10:10 cutting staff

UK-based developer 10:10 Games has laid off 19 employees following the poor reception of its first title, Funko Fusion, which was deemed a "complete commercial and critical failure." The layoffs were attributed to the "needs of the next project" and did not affect senior or upper management. Severance packages for those laid off were slightly above the legal minimum, leading to concerns about support for affected staff. Employees expressed dissatisfaction with management's handling of the layoffs, noting that feedback was not considered. 10:10 Games was founded in 2021 by veterans from TT Games.

AppWizard

February 13, 2025

Crytek lays off around 15% of staff

Crytek has announced a workforce reduction of approximately 15 percent, affecting around 60 employees in development and shared services, due to "complex, unfavourable market dynamics." The development of the next Crysis installment is on hold, and the company is shifting focus to enhance the ongoing project, Hunt: Showdown 1896. Crytek will provide severance packages and career assistance to those laid off. The company remains committed to the development of Hunt: Showdown 1896 and advancing its CryEngine technology.

AppWizard

December 4, 2024

Torn Banner Studios cuts staff

Torn Banner Studios' CEO, Steve Piggott, announced impending staff layoffs as part of a restructuring initiative, though the exact number of positions affected is undisclosed. Laid-off employees will receive severance packages and retain their work computers, with support offered in finding new opportunities at other game development studios. The development of Chivalry 2 will not be impacted by the layoffs, and the studio is committed to progressing with their roadmap and additional content for their games. The final update for Chivalry 2 was released earlier in 2024, and servers will remain active.