
Striking Distance Studios, the developer of survival horror The Callisto Protocol, has announced layoffs as parent company Krafton revealed plans to keep the team “agile” going forward. It’s the second time layoffs have occurred at the developer, with the first round of layoffs happening in August 2023.

Krafton has announced a new round of layoffs at The Callisto Protocol developer Striking Distance Studios. Although an exact number remains a mystery, it’s believed to be “most of the devs.”
In a statement to GameSpot, the developer confirmed the cuts were necessary to establish a “sustainable environment” for the “current state of development on future projects.”
Why Striking Distance Studios Is Laying Off More Staff
It’s the second round of layoffs the studio has faced since 32 staff were cut in August 2023, following reports The Callisto Protocol fell massively short of sales expectations, with the game selling less than half of its expected 5 million copies in its first year.
Another blow to the studio came in October 2024 with the release of Redacted, a top-down action roguelike that has an all-time peak of 168 concurrent players.
What This Means for the Future of Striking Distance Studios
Krafton maintains Striking Distance Studios is “operational,” with ongoing projects seemingly unaffected, including a third-person AAA game for Unreal Engine 5 that the developer is reportedly working on.
With the latest round of layoffs, many will wonder whether Striking Distance Studios can recover or if this marks the beginning of the end for the developer with what appears to be a major downsizing.
Ongoing Problem For The Gaming Industry
With major studios like Ubisoft, EA, and Microsoft also laying off employees in 2024 and Warner Bros. closing multiple studios this month, the gaming industry is at a significant juncture as companies restructure and streamline.
The latest layoffs at Striking Distance Studios highlight the need for developers and publishers to manage their teams and set achievable targets as gaming trends constantly shift.
Conclusion
Despite a promising launch, The Callisto Protocol struggled to compete with other major horror titles, resulting in multiple rounds of layoffs in an already difficult time for the industry. We all hope everyone affected finds a new place to work soon.
Download the Allkeyshop Browser Extension Free
For all the latest video game news, trailers, and best deals, make sure to bookmark us.
You can find all the best and cheapest online deals on CD keys, game codes, gift cards, and antivirus software from the verified CD key sellers on our store pages.
To not miss any news on Allkeyshop, subscribe on
Google News
.