An uncertain future
In a message posted on LinkedIn, Phoenix Labs announced to focus on its flagship games. First of all, Dauntlessa free-to-play game inspired by Monster HunterAnd Fae Farm, a cozy and accessible agricultural simulation. The latter, released on December 16, 2023 on PC and Switch, was rather well received by the public and critics.
Today is an incredibly difficult day. After an extensive period of evaluation to determine how to navigate our economic environment, we had to significantly restructure the business to pave the way for a strong future. We are reorganizing Phoenix Labs to focus on our top titles, Dauntless And Fae Farmin order to better serve their communities.
This unfortunately means that all other projects from the studio are canceled. According to Polygon journalist Nicole Carpenter, who was able to speak with several employees, a game was even close to being announced. His sources also revealed to him the sad figure of layoffs within the company. About a hundred in total.
Advertisement
Major layoffs at Fae Farm, Dauntless dev Phoenix Labs today. Two sources said over 100 people have been impacted. On LinkedIn, a former worker said all in development games have been canceled, including one about to be announced. Devastating news — so sorry to those impacted. pic.twitter.com/H4LLH6jY3C
— Nicole Carpenter (@sweetpotatoes) May 16, 2024
Unfortunately, this means stopping work on all other projects in the studio, which will have an immediate impact on many of our colleagues. We are informing everyone whose positions are affected. This restructuring has not been easy and truly represents the last resort to ensure the long-term survival and prosperity of Phoenix Labs. It's impossible to say how much we appreciate each talented individual who has contributed their hard work and passion to every project in our studio. We are doing everything we can to support our departing colleagues during this transition period. We encourage all studios looking for exceptional talent to consider hiring the remarkable people who have been a part of the Phoenix Labs journey.
We send all our support to the teams and wish them to quickly find employment in this industry, which is more fragile than ever. Unfortunately, the latest news is not encouraging and we therefore know that it is far from over. Xbox (again) and Square Enix are in particular in the viewfinder.