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League of Geeks in Crisis: Layoffs and Game Development on Hold

In the face of rising costs and funding shortages, League of Geeks confronts layoffs and halts development on Jumplight Odyssey.

Naser Nahandian by Naser Nahandian
3 years ago
in Games, News, Nintendo, PC Games, PlayStation, Xbox
Reading Time: 2 mins read
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The Australian indie studio League of Geeks, known for its creative ventures in the gaming world, has recently announced significant layoffs and an indefinite pause in the development of its early access game Jumplight Odyssey. This decision reflects the broader challenges facing the video game industry in 2023.

In a candid statement shared on Twitter, League of Geeks’ co-founders Ty Carey, Blake Mizzi, and Trent Kusters painted a picture of a studio grappling with numerous external pressures.

Rising operational costs, a weakening Australian dollar, poor early access sales for Jumplight Odyssey, and a dramatic decrease in funding opportunities across the industry were cited as the primary reasons for their drastic decision. This narrative echoes the experiences of many other gaming studios that have faced similar setbacks this year.

Despite the troubling news, the studio reassured fans that these layoffs would not impact the February release of their upcoming fantasy strategy game, Solium Infernum. They also confirmed continued support for their existing title, Armello. However, the entire team behind Jumplight Odyssey has been affected, leading to the game’s indefinite suspension.

In a more detailed explanation on the Jumplight Odyssey Steam forums, Trent Kusters elaborated on the factors behind the layoffs. He emphasized that this wasn’t a decision driven by executive greed or strategic realignment, but rather a situation where the studio’s hand was forced by unprecedented market conditions.

Kusters highlighted the stark reality that nearly all funding and investment in the video game industry have dried up in the past six months, leaving only projects deemed as guaranteed successes to receive backing.

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Facing the Inevitable

We’ve got some unfortunate news to share, folks. A thread: pic.twitter.com/hDjlrkKtdV

— League of Geeks (@LeagueofGeeks) December 5, 2023

The FAQ provided by Kusters on the forums offers a grim insight into the dire situation faced by the studio. He made it clear that the scale of the problems was too large to be addressed by crowd-funding or external investments.

The studio had two major investment deals collapse within three weeks in November, leaving them with a tough decision: pause the development of Jumplight Odyssey to ensure the release of Solium Infernum, or face the closure of League of Geeks entirely.

Kusters acknowledged the full responsibility of the studio’s directors in these challenging times, yet it’s hard to ignore the broader context. The situation at League of Geeks appears to be less about mismanagement and more a consequence of market conditions and economic forces beyond their control.

As a measure of support for the affected staff, half the profits from ongoing sales of Jumplight Odyssey will be directed to the League of Geeks team, including those who have been laid off. Meanwhile, Solium Infernum is still on track for its Valentine’s Day release.

Tags: League of Geeks
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