Embracer Group has made layoffs at Baldur's Gate: Enhanced Edition and Mythforce developer Beamdog less than two years after acquiring the studio.
31.08.2023 - 19:49 / wccftech.com / Lars Wingefors / Red Faction
Volition Games, the studio behind Saints Row and Red Faction, has been permanently shut down due to the "restructuring" policy adopted by parent company Embracer Group.
The announcement came via the company's LinkedIn. Here is what Volition Games had to say:
This past June, Embracer Group announced a restructuring program to strengthen Embracer and maintain its position as a leader in the video game industry.
As a part of that program, they evaluated strategic and operational goals and made the difficult decision to close Volition effective immediately.
-Volition Games
Under the restructuring process, layoffs and budget cuts were undoubtedly expected. However, the closure of Volition Games came as a shock, considering that they were deeply rooted in the industry. The driving force behind the restructuring decision comes after a $2 billion deal fell off between Embracer Group and Saudi-backed Savy Games Group. Following the deal's cancellation, Embracer saw its stock crash.
The first catalyst that resulted in the closure of Volition Games itself was the release of the latest Saints Row, which was unable to gain the traction it should have. The game launched badly last year, and Embracer Group's CEO Lars Wingefors revealed that the ROI (Return on Investment) wouldn't be that great. Embracer later shifted Volition from Deep Silver to Gearbox, hoping the new oversight would improve the studio's future games. Saints Row also received many post-launch updates and DLCs and recently launched on Steam. However, the aforementioned restructuring of Embracer was the final nail in the coffin.
It is unfortunate to see a 30-year-old gaming studio closing so abruptly. Despite the negativity behind Saints Row (and, previously, Agents of Mayhem), the studio was once capable of great games like the first Saints Row titles and the shooter Red Faction. Embracer Group is in a bad spot right now, and more studios may be affected by the restructuring policy after Volition Games.
Embracer Group has made layoffs at Baldur's Gate: Enhanced Edition and Mythforce developer Beamdog less than two years after acquiring the studio.
Embracer Group has reportedly laid off more than 25 employees from Beamdog, according to former employees via LinkedIn, as spotted by GameDeveloper. Beamdog, the studio behind Baldur’s Gate Enhanced Edition, Neverwinter Nights Enhanced Edition, and Mythforce was acquired by Embracer’s Aspyr Media subsidiary in April 2022.
Embracer is reportedly considering the sale of Borderlands developer Gearbox Entertainment just over two years after it purchased the company for $1.38 billion.
Embracer Group's ongoing restructuring efforts have seemingly resulted in layoffs at MX vs ATV Legends developer Rainbow Studios.
Embracer Group has shut down Volition, and as a studio that has been around for three decades, it’s obviously got some notable releases under its belt. But with the studio now shuttered, what will become of its properties?
Yesterday, August 31, saw the end of Volition, and the studio bid farewell with one final post on Twitter. In its message, the 30-year-old developer looked back on its existence, saying it's "been around long enough that some folks forget what we made, but they certainly know our games."
On the heels of a total and immediate shutdown for 30-year-old studio Volition, publisher Deep Silver says that series like Saints Row and Red Faction aren't dead yet.
Saints Row and Red Faction will "live on", despite developer Volition shutting down after 30 years in the business. This comes from Volition's publisher, Deep Silver, as it uses the studio's goodbye message to remind fans that more games are possible, despite the loss of the original developer.
Volition Games has shut down as part of Embracer Group’s ongoing restructuring. The studio, which has roots going back to 1993, is behind the Saint’s Row series, Red Faction, and Summoner.
After 30 years, Volition is closing its doors.
Volition Games, the studio behind franchises such as Saints Row and Red Faction, has been shut down effectively immediately.
Saints Row developer Volition has been shut down “effective immediately”.