Funcom to lay off staff as it pivots to focusing solely on Conan Exiles and Dune: Awakening

Norwegian developer Funcom has initiated a restructuring process to concentrate solely on live operations for Conan Exiles and Dune: Awakening, affecting an unspecified number of staff. The company confirmed the move follows a decision to prioritize long-term support for these titles over new projects. Funcom stated the restructuring aims to align its organization with this new focus, which will involve reducing its workforce. The process began immediately, with further details to be withheld until completion out of respect for affected employees.

Chief Executive Officer Rui Casais, who led the company for 11 years including through its 2020 acquisition by Tencent, will leave at year-end. He will be succeeded by Chief Product Officer Scott Junior, who has been with Funcom for 25 years and recently served as Executive Producer on Dune: Awakening. Casais acknowledged the restructuring as necessary to transition from peak development to ongoing live operations, emphasizing transparency and support for staff during the process.

Funcom previously closed Swedish studio The Outsiders in October 2025 following the launch of Dune: Awakening, which the company described as its biggest launch in 32 years. The developer also acquired the Conan IP in 2021 through its purchase of Cabinet Group, which held rights to multiple franchises managed under Funcom subsidiary Heroic Signatures.

The restructuring reflects Tencent’s broader strategy to streamline its studio portfolio, with Funcom’s focus on live-service games aligning with the parent company’s priorities. Tencent previously stated that service games are part of Funcom’s core design philosophy, supporting the developer’s transition to a live-operations model.