Cryptic Studios Faces More Layoffs Amid Parent Company Restructuring

Cryptic Studios, the developer behind Star Trek Online, is undergoing another round of layoffs a year after its parent company, Embracer Group, initiated a significant restructuring program. Multiple employees have shared on LinkedIn that they will leave the studio by the end of October, signaling another difficult phase for the company.

This isn’t the first time Cryptic Studios has faced such challenges. In November 2023, the company announced layoffs linked to Embracer Group’s struggles following the collapse of a $2 billion deal with Saudi Arabia’s Savvy Games Group. At that time, reports of layoffs surfaced in October, but official confirmation came a month later.

Character artist Amelia March expressed her disappointment, saying, “October will be my last month at Cryptic Studios. I and many of my talented coworkers have been impacted by the most recent layoffs at the company.” Similarly, senior community manager Mike Fatum confirmed his departure, along with environment artist Gianna Rockwell, who mentioned that “many” others are also affected.

Senior artist Mauricio Tejerina, who has been with Cryptic for over a decade, also shared his sentiments, stating, “I am part of a layoff along with other talented people who have become like family to me over the past 10 years.” These personal stories underline the significant impact the layoffs have on the studio’s workforce.

It remains unclear if the current layoffs are part of the same restructuring process or a new wave of cost-cutting measures. Earlier posts from employees like producer Julia Frederickson and QA tester Randy Habenicht hinted at potential cuts weeks ago. Moreover, Fatum’s August message about seeking a new role suggested that these changes might have been anticipated for some time.

Sources: Game Developer

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