Splash Damage Faces Major Layoffs After Private Equity Acquisition
Following its recent acquisition by private equity, Splash Damage announces significant layoffs to maintain agility in a challenging market, despite not releasing a game since 2020.
Two months ago, the renowned studio Splash Damage separated from Tencent and was acquired by private equity investors. At that time, warnings were raised about the implications of such a transaction, and recent developments have confirmed these concerns.
Today, the studio announced that it is entering a consultation period that impacts all employees as part of a necessary step to stay agile in a challenging market. In their updates shared via LinkedIn, the studio acknowledged the emotional toll of such changes but committed to providing support to impacted staff during the transition.
Splash Damage has not released any games since 2020. Its last project, Transformers Reactivate, was revealed at The Game Awards 2022 but faced cancellation after a lengthy silence. Meanwhile, the future of its next intended title, Project Astrid, remains uncertain.
