Industry closures and downsizing thread.

[dyne]

It’s been long enough, I’m finally starting it. Sadly the way this is going it’ll probably get updated frequently. Could somebody sticky it?

https://www.nintendolife.com/news/20...ver-100-people

Bandai Namco Studios has reportedly reduced its staff by more than 100 people within the last year, as reported by Automaton.

The studio, known for Switch games such as New Pokémon Snap, Taiko no Tatsujin: Drum 'n' Fun!, and the upcoming Pac-Man title Shadow Labyrinth, had stated in a company overview on 1st April 2024 that its workforce stood at a total of 1,294 employees, however the Japan Pension Service database has this at 1,177 as of 4th February 2025.

This news comes after reports in 2024 that Bandai Namco had cancelled a number of projects, including one commissioned by Nintendo.
According to the initial article from Bloomberg, the company had allegedly used 'oidashibeya' – expulsion rooms – to pressure 200 employees into voluntary resignation. Effectively, they would be provided with meaningless work in an effort to demotivate them. Many employees would instead use this time to look for work elsewhere.

Although this is supposedly a traditional Japanese approach to reducing staff numbers, Bandai Namco denied that this was the case. It remains to be seen, then, whether the 100+ employees who have now left had done so "willingly", or were let go with severance.

https://www.nintendolife.com/news/20...firms-lay-offs

Iron Galaxy, a studio known for its work on titles such as Metroid Prime Remastered, The Elder Scrolls V: Skyrim, and Diablo III on Switch, has confirmed that it has laid off 66 development and support staff.

Confirmed via a post on LinkedIn (thanks, GamesIndustry), the studio said that the decision was made to "enable our long-term survival". Despite this loss, the statement also clarifies that the team will "remain intact to work with the best companies in the world on the most beloved player experiences".

For now, Iron Galaxy's primary focus will be on the teammates that have sadly been let go, pledging to support them in their search for new roles elsewhere.
Iron Galaxy was confirmed to have assisted on the development of Metroid Prime Remastered alongside original creator Retro Studios. In addition, the game received support from the following teams: Airship Images Limited, Atomhawk Design, CGBot, Gamesim Inc, Liquid Development, Original Force LTD, Shanghai Mineloader Digital Technology, and Zombot Studio.

https://www.nintendolife.com/news/20...-of-the-studio

Developer Phoenix Labs – known for its work on Fae Farm and Dauntless – has announced that it has laid off "the majority of the studio", citing "unfortunate but necessary changes to our operations".

The move follows a previous round of layoffs back in May 2024, during which "about 140" employees were affected. The new statement, posted on LinkedIn, mentions that updates regarding both Fae Farm and Dauntless will be provided in the coming weeks, but that the current focus is on "supporting those affected through this transition".

https://www.nintendolife.com/news/20...oyees-affected

After a year plagued by layoffs at studios big and small, Ubisoft has today confirmed that its 'restructuring' efforts are continuing into 2025, with a further 185 employees laid off across the company's European studios.

As reported by VGC, the layoffs come as a product of "restructurings" at Ubisoft Düsseldorf, Ubisoft Stockholm and Ubisoft Reflections, and the complete closure of UK-based studio Ubisoft Leamington — the team formally known as FreeStyleGames responsible for the DJ Hero series.

In a statement released to VGC, an Ubisoft spokesperson claimed that the job losses come "As part of our ongoing efforts to prioritise projects and reduce costs that ensure long-term stability at Ubisoft". The statement clarifies that the decision “should impact 185 employees overall", with the company noting, "We are deeply grateful for their contributions and are committed to supporting them through this transition”.

This comes a little over a month after the company closed two studios in San Francisco and Japan, and was reportedly "ramping down" its production team in Sydney, Australia.

Last year, Ubisoft released the likes of Prince of Persia: The Lost Crown, Skull & Bones and Star Wars Outlaws, all of which were claimed to have fallen short of the company's targets. With a potential buyout looming, the studio's future seems to hinge on Assassin's Creed Shadows, set to launch on Xbox and PlayStation this March.