Layoffs Announced by 11 Bit Studios

11 Bit Studios, a well-regarded gaming studio based in Poland, recently announced some unfortunate news: they’ve had to make staff layoffs, although the exact number of employees affected remains undisclosed.

This announcement was accompanied by another piece of significant news: the cancellation of Project 8. This project was set to be their debut creation specifically tailored for console gamers. The development of Project 8 kicked off in 2018, and by the time of the cancellation, it had a dedicated team of 37 developers. Over the years, they invested PLN 48.4 million, which is approximately $11.8 million, into this ambitious endeavor.

The decision to pull the plug on Project 8 was not made lightly. The company underwent an extensive evaluation process, during which they had to confront several challenges that the project faced over time. Notably, the disruptions caused by the COVID-19 pandemic played a significant role in the hurdles encountered.

Przemysław Marszał, the company’s president, shed light on the situation, stating, “Our vision for Project 8 was daring and invigorating—it was our chance to create a game specifically for the console crowd. But our idea took shape in a time when narrative and story-rich games had a broader audience.”

He elaborated further by saying, “When we evaluate any project, we take a comprehensive look at its development stage, consider feedback from internal checks, and assess independent surveys. Market analysis and the game’s potential in sales and marketing are also key factors we scrutinize. Sadly, in the case of Project 8, our findings pointed out multiple unresolved issues. Addressing these would have meant more time and money than we initially planned. Plus, our updated sales forecasts—reflecting the reality of today’s changing market dynamics—raised alarming doubts about whether it would ever turn a profit.”

This thoughtful yet unfortunate decision marks a significant pivot for 11 Bit Studios as they navigate the shifting landscape of the gaming industry.