Summary

Netflix has issued a wave of layoffs targeting theOxenfreedeveloper Night School Studio, letting go of a currently undisclosed number of employees. Night School Studio is an American video game developer founded in 2014 by Sean Krankel and Adam Hines, and the studio was previously acquired by Netflix. In addition toOxenfree, the developer has released adventure titlesAfterpartyandNext Stop Nowhere, preceding the launch ofOxenfree 2: Lost Signalsin 2023.

Oxenfreeis a graphic adventure game released in 2016 and served as Night School Studio’s debut game. Players take on the role of teenager Alex while visiting a local island that harbors supernatural occurrences.Oxenfreeis considered one ofthe most underrated story-driven gamesto exist, influenced by coming-of-age shows and free from cutscenes, and was flooded with critical praise.

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Reported by Game Developer, it was understood that several Night School Studio workers have been made redundant under Netflix Games.Netflix acquired Night School Studio back in 2021, during the streaming giant’s leap onto the video game scene, and it was noted the current layoffs wouldn’t affect the development of the studio’s current projects. According to the original report, the employees wished to remain anonymous and revealed the layoffs were announced back in January which “shocked” all those involved.

Oxenfree Developer Night School Studio Hit With Layoffs by Netflix

Despite the service’s ambitious start in the video games industry,Netflix Games has canceled six gamesthat were making their way to the platform, includingDon’t Starve TogetherandTales of the Shire: A Lord of the Rings Game, and the studio declined to comment on the layoffs when asked by Game Developer. Additionally, it was stated that this decision was a part of Netflix’s process to “reorganize its video game business,” after the company shut down triple-A studio Team Blue in October 2024. New hire Alain Tascan, former Epic Games EVP of development, previously said Netflix was in a good position to “redefine the future of gaming,” and former Netflix Games head Mike Verdu transitioned to the new VP of GenAI in a bid to bring generative AI tools into Netflix’s game development.

Night School Studio’s layoffs sadly join a long and ongoing list of other developers around the world who have been subjected to the same fate, including theshocking dismissal of oneMarvel Rivalsdevelopment teamdespite the hero shooter being a massive success since its launch in December 2024. Other studios that have been affected by layoffs recently include theCrysisseries developer Crytek,Funko Fusionstudio 10:10 Games, and theSmiteteam at Hi-Rez Studios.