Krafton has filed a response to the lawsuit from the former leadership of Unknown Worlds, the makers of Subnautica. The core of Krafton’s argument is that the leaders were dismissed to prevent them from causing lasting damage to the game’s reputation after they allegedly lost interest following the acquisition.

The company has emphasized that it made significant financial investments, totaling $500 million for the studio’s acquisition and potential bonuses of up to $250 million based on performance targets for Subnautica 2. However, Krafton claims that Cleveland, McGuire, and Gill neglected their responsibilities post-acquisition, leading to severe development delays.

Krafton is seeking to dismiss the lawsuit entirely and has highlighted concerns that the ongoing issues with Subnautica 2 reflect broader failures within the studio management.

“We believe the facts speak for themselves,” Krafton stated in their defense. “This answer reflects our commitment to protecting both the Subnautica IP and the global community that has supported it for years.”

As a result, the anticipated release of Subnautica 2 has been pushed into 2026, as Krafton hopes to ensure that the game meets the quality expectations of its fanbase.