[UPDATE: Striking Distance Studios owner KRAFTON has provided an official statement on the recent layoffs. It reads:“Striking Distance Studios has reduced the size of its team to remain agile, creating a sustainable environment for the studio at its current stage of development on future projects. The studio remains operational, and these changes will not impact any planned ongoing support. No further changes are planned at this time."]
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The seemingly relentless wave of video game industry layoffs has seemingly hit yet another team, asThe Callisto Protocolcreator Striking Distance Studios has reportedly let go of a majority of its developers. This revelation comes just shortly after Striking Distance Studios teased a new in-development project, leaving audiences to wonder what the immediate and long-term implications of these layoffs will be for the creatives behindThe Callisto Protocol.
Released back in 2022,The Callisto Protocolis a narrative-driven sci-fi survival horror game that takes place 300 years in the future on one of Jupiter’s moons, Callisto. Despite mixedreviews forThe Callisto Protocol, the studio’s second title,[REDACTED], quickly gained momentum and audiences were excited to see what a third offering from the team would have in store. Sadly, it seems many developers at Striking Distance Studios have been laid off, leaving the fate of any future releases uncertain.
According to aLinkedInpost by Concept Art Director Jesse Lee, “most of the devs” at Striking Distance Studios were hit by recent layoffs. Dozens of other online posts have corroborated the statement, with team members from various departments confirming that many were handed their redundancies during the week of February 17. While the exact scope of the layoffs is presently unknown, social media comments from now-former members of the Striking Distance Studios development team have shown that employees in art, engineering, and project management are among those affected. Environment Artist Nicole Schofield had been with Striking Distance Studios for over five years and has also been let go, revealing that both new and veteran team members have been impacted. At the time of this writing, it has not been confirmed if any of the affected employees were working onStriking Distance Studios' next game.
Striking Distance Layoffs Are the Latest to Spark Industry Discussions
The continued wave of industry-wide layoffs has sparked a number of discussions about the necessity of workforce reductions at major studios, and the cutbacks at Striking Distance Studios have once again ignited debate among fans. It was recently revealed that parent companyKrafton achieved record-breaking profits in 2024, leading many to question the source of the layoffs at Striking Distance Studios. Other big-name companies like Microsoft and Embracer Group have also boasted major revenue increases while simultaneously laying off thousands of employees, and fans are skeptical about whether consumers will start to feel the consequences of these repeated layoffs.
Many have noticed a major shift in the video game industry in recent years, with thecost of game developmentrising drastically and teams often facing the brunt of any financial woes. Whether layoffs of teams likeThe Callisto Protocoldevelopers will prove sustainable remains a key question for both companies and players, and many are continuing to keep a wary eye on the future of the industry.