Embracer Group, a Swedish conglomerate known for its extensive acquisitions of game development studios, has been grappling with financial debts. In an attempt to reduce their debts, they have been implementing layoffs across their various subsidiaries. The latest studio to be affected is New World Interactive, the developer behind the popular game Insurgency.
Uncertainty Surrounding Layoffs
The exact number of employees affected by the recent layoffs at New World Interactive remains unclear. However, New World Interactive’s parent company, Saber Interactive, has confirmed that one of the studio’s unannounced projects has been cancelled. In a statement released by Saber, they express their regret over the necessity of the restructuring and acknowledge the impact it has had on employees. They promise to assist those affected by attempting to place them in open roles within Saber and by providing severance packages.
Despite the setbacks caused by the layoffs, New World Interactive is committed to continuing the development of Insurgency: Sandstorm, their flagship military shooter. The studio is also working on several other unannounced games, demonstrating their determination to navigate the challenging circumstances and push forward with their projects.
Embracer’s decision to lay off employees has led to rumors about the potential shuttering of New World Interactive. However, Saber Interactive has explicitly denied these speculations. While the studio has experienced significant changes, it is not being entirely dissolved. This clarification provides some relief for fans of Insurgency and the wider gaming community who have expressed concerns over the fate of the studio.
Embracer Group’s financial troubles have been attributed to their ambitious acquisitions strategy. Upon acquiring over 200 game development projects, the company faced significant challenges. Their plans were further complicated by the collapse of a $2 billion investment deal, which forced Embracer to reassess their approach. Consequently, over 900 employees were laid off during the summer, and various studios within the Embracer portfolio experienced restructuring measures.
New World Interactive, founded in 2010, initially began as a group of modders collaborating with Valve’s Source Engine. They gained recognition through Insurgency: Modern Infantry Combat, a Source conversion that eventually evolved into a successful standalone shooter in 2014. The studio continued to impress with Insurgency: Sandstorm in 2018, garnering praise for its immersive gameplay experience and exceptional sound design.
Concern for Affected Employees
As news of New World Interactive’s layoffs spreads, there is an outpouring of support and concern for the affected employees. The gaming industry is often characterized by its passionate and dedicated community, and fans are expressing their best wishes for those who have lost their jobs. Many hope that these talented individuals will find new opportunities in the industry and continue to contribute their skills and creativity to the development of exciting games.
New World Interactive’s recent layoffs amid Embracer Group’s restructuring efforts have raised concerns about the future of the studio. However, with their commitment to ongoing projects like Insurgency: Sandstorm and multiple unannounced games, there is hope that they will weather the storm and emerge stronger than ever. The industry, as a whole, stands in solidarity with the affected employees, expressing support and wishing them the best in finding new opportunities.
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