Industry layoff watch: Supermassive, Ninja Theory, The Coalition, and a warning from Warhorse
Multiple studios face restructuring as layoffs continue across the global games industry, with Supermassive and Ninja Theory confirming cuts while The Coalition’s developers fear impending job losses despite Gears of War: E-Day’s launch.
Supermassive has completed layoffs affecting up to 75 employees, with former staff confirming redundancies across roles including developers, artists, and producers. The studio’s IT director described the departures as a loss of over 70 skilled professionals. The cuts follow a public statement in August about potential layoffs after the release of Directive 8020. LinkedIn posts from former employees indicate the process has concluded.
Ninja Theory, previously slated for closure or sale by Microsoft, is now moving toward closure after failed divestment attempts. Multiple employees report layoffs or pending redundancies, with a legally required consultation period underway in the UK. Gameplay programmer Katrin Mair expressed disappointment over the cuts, noting unfinished projects left incomplete due to the restructuring.
Developers at The Coalition, creators of Gears of War: E-Day, now fear layoffs despite the game’s successful launch, citing Microsoft’s repeated cuts. Story director Juan Vaca was laid off weeks before the game’s release, and others were cut shortly prior. Employees worry about losing performance bonuses tied to Metacritic scores, with payouts expected by late October.
Warhorse Studios co-founder Martin Klima predicts studios may relocate development to lower-cost regions like Central and Eastern Europe, China, or India to reduce expenses. The shift reflects broader industry pressures, including rising costs, generative AI, and shareholder demands, posing challenges for North American and Western European developers.