Krafton has announced further rounds of layoffs at Striking Distance Studios, the team behind The Callisto Protocol. Although some employees have been let go, Krafton assures that the studio remains operational and that these changes will not affect ongoing projects.

The layoffs occur shortly after multiple former employees shared on LinkedIn that a significant number of developers had been dismissed. One reported that “most of the devs were laid off” while others mentioned several layoffs affecting the studio.

A Krafton representative stated, “Striking Distance Studios has reduced the size of its team to remain agile, which creates a sustainable environment for the studio at its current stage of development. The studio remains operational, and these changes will not impact any planned ongoing support. No further changes are planned at this time.”

This is the second round of layoffs at Striking Distance, which previously let go of 32 employees in August 2023 following the release of The Callisto Protocol’s first and only story expansion. The game, despite its pedigree, did not meet Krafton’s sales expectations, prompting earlier cutbacks.

As of now, Striking Distance has not announced any new projects but suggestions have emerged that early work on a new game may have begun. According to LinkedIn posts, lead gameplay programmer George Coomber is reportedly leading a team to prototype a game in Unreal Engine 5.