Killer Instinct developer Iron Galaxy announces layoffs as a "last resort"
Iron Galaxy, best known for its Killer Instinct reboot, Rumbleverse, and co-development work, has announced that it is laying off employees as a "last resort" to ensure "long-term survival."
The details:
In a statement posted on its LinkedIn page on Wednesday, the studio confirmed that it has been forced to lay off 66 employees after "making sacrifices" for years to stay afloat during a difficult period in the industry. It also stated that it remains committed to its projects in collaboration with its partners and will "continue to explore new ways to support an industry we love and keep working towards its ongoing recovery."
Iron Galaxy is best known for co-developing titles in popular franchises such as Fallout, The Elder Scrolls, Call of Duty, and others, but it has also released a number of its own games, including 2013's Killer Instinct and Epic Games' short-lived Rumbleverse. In August, CEO Adam Boyes announced his departure from the studio after eight years, with former co-CEO and COO Chelsea Blasko stepping into the role.
So far, an estimated 775 people have been laid off in 2025, including employees at Ubisoft, Phoenix Labs, and the recently shuttered Midnight Society. However, this is a significant decline from the devastating start to 2024, which saw thousands of layoffs at some of the industry's largest companies, including Microsoft, PlayStation, and Unity.
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