The video game industry, a realm often celebrated for its creative spirit and technological advancements, is facing another wave of upheaval. Embracer Group, a name that’s become increasingly synonymous with significant industry changes, has once again stirred the pot.
This time, it’s the cancellation of a new ‘Deus Ex‘ game and the layoff of nearly 100 staff members at Eidos Montreal, marking a continuation of the turbulent times within the gaming world.
A Rough Patch for the Gaming World
Embracer Group’s recent decision casts a somber shadow over the industry. Following hot on the heels of Microsoft’s sizable layoffs post its acquisition of Activision Blizzard, Embracer’s move adds to the growing concern over job security and project stability in the gaming sector.
The cancellation of the ‘Deus Ex’ game, which had been in the pipeline for two years, was a particularly unexpected twist. Despite not featuring the iconic character Adam Jensen, as voiced by Elias Toufexis, the game had garnered interest and speculation about its potential.
Toufexis’s reaction on Twitter highlighted not just personal disappointment but also a broader concern for those affected by the layoffs. The 97 staff members who lost their jobs at Eidos Montreal came from various departments, reflecting the wide-reaching impact of such corporate decisions. The layoffs were attributed to several factors, including the “global economic context” and a larger restructuring within Embracer Group.
Behind the Scenes of the Layoffs
— Eidos-Montréal (@EidosMontreal) January 29, 2024
The layoffs at Eidos Montreal aren’t isolated incidents in Embracer Group’s recent history. Over the past year, the company has been involved in several layoffs and closures across its studios, including 3D Realms, Slipgate Ironworks, and New World Interactive. The closure of Saints Row developer Volition last summer was a significant part of this trend.
These changes are partly a result of a failed massive deal between Embracer and the Saudi government-funded Savvy Games Group. The fallout from this collapsed deal seems to have triggered a chain of restructuring efforts within Embracer, leading to the recent layoffs and project cancellations.