Hyper Light Drifter developer Heart Machine has laid off the majority of staff

Indie studio Heart Machine has laid off nearly all its employees after a publisher withdrew funding for an unannounced project. Studio founder Alx Preston announced the news on LinkedIn, describing the decision as devastating for the team. He noted that without the publisher's support, the studio had no immediate prospects or funds to continue operations. Preston expressed uncertainty about the studio's survival but pledged to support affected staff in finding new roles.

Heart Machine had previously downsized in November 2024, with Preston suggesting the launch of Hyper Light Breaker might help some affected employees. However, the studio canceled the title before it exited early access, leading to two additional rounds of layoffs in October 2025. The cumulative impact has left the studio's current workforce unclear. Preston emphasized the challenges of navigating the video game industry, calling the situation 'extremely difficult.'

The studio's most notable release, Hyper Light Drifter, was a critically acclaimed action RPG released in 2016. Heart Machine had been working on unannounced projects to sustain operations, but the loss of publisher funding has halted progress. Preston's LinkedIn post did not specify the number of remaining employees or the studio's immediate plans. The announcement underscores the precarious state of many indie studios amid industry-wide financial pressures.

Preston's statement reflects broader struggles in the gaming industry, where funding instability and project cancellations have become increasingly common. He called on the community to assist laid-off staff in finding new opportunities, highlighting the talent and kindness of those affected. The studio's future remains uncertain as it grapples with financial and operational challenges. Industry observers will closely monitor Heart Machine's next steps in the coming months.