Frostpunk Developer Cancels Console Project and Announces Layoffs

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Summary

  • 11 Bit Studios has canceled Project 8, an unannounced narrative-driven console game, due to a shift in market trends.
  • An undisclosed number of talents that were involved in the title will be dismissed as a result of its cancelation.
  • The studio is currently working on The Alters, which is now aiming for an early 2025 release.

As a long-time fan of 11 Bit Studios and their captivating city-building series like Frostpunk, it’s disheartening to see the challenges they’re facing this year. The cancellation of Project 8, an unannounced console game, feels like a blow to the community who had been eagerly waiting for more information about it. It’s disappointing to see talented individuals losing their jobs due to market trends and financial concerns.

11 Bit Studios, a developer based in Warsaw that’s known for their successful city builder series Frostpunk, has announced layoffs due to the cancellation of an unannounced console game. The decision was made in response to changing market trends and worries about the game’s potential profitability. At present, they are still developing a sci-fi survival game called The Alters.

2023’s been a tough ride for me, gaming enthusiast that I am, especially when it comes to my favorite dev team, 11 Bit Studios. The stock market hasn’t been kind to them since Frostpunk 2 dropped in September on the Polish mWIG40 index. Despite moving over 350,000 copies in its debut week, the new city-building game fell short of what was expected, maybe because it got some relatively low ratings, according to reports by financial analysts as mentioned in Reuters.

As a passionate gamer, I was looking forward to diving into Project 8, a console-focused title that 11 Bit Studios had been secretly working on. However, in their latest report to investors, they announced the unfortunate cancellation of this game. The CEO and Management Board President, Przemek Marszal, explained that this decision was made due to the changing trends in gaming preferences. Back then, narrative-driven and story-rich games were highly sought after. Unfortunately, with the increasing costs associated with addressing development issues and doubts about its profitability, they decided it wasn’t worth moving forward. In the end, the Management Board felt that the game might not reach a satisfactory quality within a reasonable timeframe.

11 Bit Studios Cancels Console-Focused Game Project 8

The project known as “Project 8,” initiated in 2018 and involving 37 team members up until September 30, is projected to result in a loss of approximately PLN 48.4 million ($11.8 million) for 11 Bit Studios. Due to its cancellation, an unspecified number of individuals working on this project will be let go. These affected employees will receive severance packages and access to psychological counseling and job placement assistance, as promised by the executive, Marszal. Moreover, over half of the current “Project 8” team is expected to be offered positions within existing or new teams for future projects, according to the executive’s statement.

Approximately 15,000 video game industry workers found themselves out of work in the year 2024, as per statistics compiled by journalist Mike Straw. Notably, Gotham Knights developer WB Games Montreal announced the termination of 99 employees earlier this year. (CBC Radio Canada reported this.)

Marszal suggests that the resources created for Project 8 might find uses beyond their initial purpose. He guarantees that his company will persist in developing significant projects, such as Frostpunk 2, which was awarded Best Sim/Strategy Game at The Game Awards 2024. In a roadmap unveiled in November by 11 Bit Studios, there’s a planned console launch for the title in 2025, along with several expansions.

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2024-12-20 22:53