Hytale by Hypixel Studios is cancelled and the studio will be closed.

A long-awaited RPG in Minecraft aesthetic is officially dead after six years of development.

The studio was previously acquired by Riot Games, so it's their initiative to cut some costs.

#Minecraft@GameDEV
#Sandbox@GameDEV
#LayOffs@GameDEV

Sad shit: Microsoft is doing its FOURTH major series of layoffs during the last 18 months...

#Microsoft@GameDEV
#LayOffs@GameDEV

As it was previously told, Microsoft has begun firing people (again). It has about 20 000 people in gaming divisions and want to cut this workforce by thousands.

King, Bethesda, and many other companies are among these cuts. It's the fourth big wave of layoffs in the last 18 months.

The total cut among Microsoft's teams (beyond gaming) is expected to be around 9100 employees out of 228 000. They were already planning to cut 7000 people in May (and it's unclear if these are two cuts or an extension).

#LayOffs@GameDEV
#Microsoft@GameDEV
#XBox@GameDEV

And here's the email from Phil Spencer: yeah, we make more money than ever, but it's all possible thanks to firing people who previously did a great job and helped us to establish this foothold in the industry. Very ugly phrasing, IMO.

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#XBox@GameDEV

Romero Games lost funding, Microsoft used to be their publisher (which wasn't announced before).

#LayOffs@GameDEV

This is brilliant

#LayOffs@GameDEV

If you've been fired from Microsoft, just use their AI to control your emotions...

Microsoft has loudly embraced AI, having announced plans in January to invest $80 billion into AI infrastructure prior to this latest wave of job cuts.

#Microsoft@GameDEV
#XBox@GameDEV
#LayOffs@GameDEV

Wargaming shuts down its fairly new game Steel Hunters and laying off stuff... the game lived in beta since April 2, 2025.

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#Wargaming@GameDEV

Do you remember the unsinkable Nokia? Intel lost its place among top-10 chipmakers and will have to fire even more people.

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#Intel@GameDEV
#Hardware@GameDEV

Seattle-based startup Rec Room, once valued at $3.5 billion, is laying off about half of its staff in a sweeping restructuring.

Co-founders Cameron Brown and Nick Fajt announced the layoffs Monday in a blog post, calling it “one of the toughest choices in Rec Room history.”

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#VR@GameDEV

Firaxis Games, known for XCOM, Civilization, and Marvel's Midnight Suns, just fired dozens of people.

Then the same fate hit Cat Daddy Games and Cloud Chamber, who worked on the next BioShock. All of them are owned by 2K, who previously stated that Civ7 performed well.

#LayOffs@GameDEV

“And Now His Watch Is Ended”: Build a Rocket Boy, the creators of Mindseye, are finally letting people go. Today dozens of ex-employees marked themselves available for hire on LinkedIn.

They finished the big patch that fixed a lot of issues, but the game is still played by 17 people on Steam and has no more sales. It was one of the last game studios in Edinburgh, comparable only to Rockstar North.

It's unclear what else and what's next can they do. Currently, it's more likely that the medium-size team will stay to work on much smaller AA projects.

#LayOffs@GameDEV

Avalanche Studios, the company behind Just Cause, Mad Max, Rage 2, The Hunter, Generation Zero, and the upcoming (but possibly cancelled) Contraband is laying off staff.

The studio in Liverpool will be closed, leaving Malmo and Stockholm standing, but with fewer workers.

#LayOffs@GameDEV

Funcom shuts down The Outsiders. The studio existed for a decade and is known for a fairly successful rhythm shooter Metal: Hellsinger.

And Funcom also let go a lot of their own staff members: it seems that the recent launch of Dune: Awakening wasn't a long lasting success.

#LayOffs@GameDEV
#Funcom@GameDEV

Build A Rocket Boy workers and ex-workers are blaming senior management (Mark Gerhard and Leslie Benzies) and their denial of feedback in the failed Mindseye release.

And in what happened after that too: apparently, redundancies were made in a very poor manner and not always in line with law.

#LayOffs@GameDEV

There are massive layoffs at MASSIVE ENTERTAINMENT, that you may know for Star Wars Outlaws, Avatar: Frontiers of Pandora, and The Division.

But they haven't fired people... THEY ARE HELPING WITH THEIR CAREER TRANSITION!

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#Ubisoft@GameDEV

The whole Splash Damage may be shut down. The studio, acting under British laws, has to make "consultations" before laying off people en masse.

They were working on Gears of War, Halo, and several other titles.

#LayOffs@GameDEV

Let's keep in mind, that most of Deus Ex makers already left (long ago). Some worked on Unknown 9, some on Hell Is Us.

#DeusEx@GameDEV
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#EmbracerGroup@GameDEV

Wreckreation game wrecked even further: after the initially poor reception just a month ago, the whole Three Fields Entertainment studio is now under redundancy notice.

According to the CEO, the publisher hasn't founded the 2025 development budget at all. And since revenue quotas aren't met, the studio will not see any revenue in the future as well, and so it can't continue to exist. Unless someone will save them and found the next milestone.

#LayOffs@GameDEV
#THQ@GameDEV
#EmbracerGroup@GameDEV

The new Avatar DLC is probably the best thing Ubisoft delivered in ages. They made it 3rd person, removed fillers, created a worthy story, and fixed gameplay features.

One year after the original game and they turned it into a very impressive journey, that people actually liked.

Now the team behind it is being cut days after the release and after The Division 10th anniversary.

#Ubisoft@GameDEV
#LayOffs@GameDEV