Hello Neighbor publisher tinyBuild hit with layoffs
Indie publisher tinyBuild appears to have joined the seemingly never-ending list of companies affected by layoffs, with job cuts at multiple studios.
The details:
As reported by App2Top (via Game World Observer), a Russian Telegram channel called "Gamedev we deserve" claims that layoffs at the publisher have affected at least three studios in Serbia and that the cuts were sudden, affecting up to 30% of the studio's workforce.
Following the reports, several former tinyBuild employees in Serbia and the Netherlands have posted on LinkedIn that they are currently looking for work over the last week, with tinyBuild sales director Michael Kuzmin stating that those affected would receive severance pay and that it was a "difficult decision" to let staff go.
CEO Alex Nichiporchik confirmed the layoffs in a new trading update, writing that it is "physically painful to part ways with colleagues after all the good work they put into the company," but he is “committed to do everything I can to ensure we get through this tough period.”
The reason for the layoffs is most likely related to the publisher's ongoing financial issues, which were reported earlier this year when it stated that it had an operating loss of $31.9 million in the first half of 2023 due to poor sales. This caused the company's shares to fall by 80%, with recent trading updates stating that its estimated revenue for the year should be between $40 and $50 million, down from $63 million last year.
More gaming news:
EA has confirmed that layoffs have occurred at F1 franchise developer Codemasters. It's currently unknown how many employees have been affected by the cuts.
BioWare has announced that Dragon Age: Dreadwolf will be fully revealed in Summer 2024, following the release of a new teaser trailer and a blog post confirming several new locations.
