People Can Fly Shakes Up Industry: Two Game Cancelations and Developer Layoffs Explained

People Can Fly, the studio behind Outriders and Gears of War: Judgment, recently announced it will stop development on two upcoming games, Project Gemini and Project Bifrost. These cancellations stem from issues with its publisher and a lack of funds, which led CEO Sebastian Wojciechowski to state that the studio would need to regroup and reduce its teams.

The exact number of affected staff hasn’t been shared, but the decision to halt Project Gemini was particularly challenging. The publisher for that game did not finalize a publishing agreement or communicate its plans, forcing the studio’s hand. Similarly, Bifrost, a self-published VR title, faced budget constraints that made progress impossible.

This isn’t the first time People Can Fly has faced challenges. Back in December 2024, the studio had to cancel Project Victoria and cut back on the team working on Bifrost. At that time, they mentioned Square Enix was involved in publishing Gemini.

Interestingly, while Outriders gained a dedicated following, it struggled commercially, with reports indicating it did not turn a profit in its first year. This kind of financial strain can impact future projects and partnerships in the gaming industry.

Despite these setbacks, People Can Fly is still developing other games. They are currently working on Project Delta for Sony and co-developing Gears of War: E-Day with Xbox’s The Coalition. This adaptability shows resilience in a tough gaming market.

As the gaming landscape evolves, studios often face unpredictable challenges. A 2023 survey from the International Game Developers Association revealed that financial constraints are the top concern among developers today. Companies must navigate funding issues while trying to produce quality content for gamers.

The ongoing reactions from fans and industry experts highlight a mix of support and concern for People Can Fly’s future. Social media is buzzing with discussions about the cancellation, showcasing the community’s emotional ties to the studio’s projects. As we look ahead, the fate of People Can Fly will be closely watched, especially as they attempt to overcome these setbacks.

For more information on the studio’s organizational updates, you can check their official announcement here.

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