Crystal Dynamics, the studio behind games like the Tomb Raider series and Marvel’s Avengers, has announced a new round of layoffs. Taking to social media platform X, the studio has released a statement where it revealed that it was laying off 17 of its employees.
While the company hasn’t yet confirmed the role that these employees played in Crystal Dynamics, it has mentioned that the decision was made in order to better align the company’s structure with its needs as a business for success in the future.
“This morning, Crystal Dynamics made the difficult decision to reduce our workforce by 17 talented team members,” posted the company. “We did not make this decision lightly. Ultimately, this step was necessary to better align our current business needs and the studio’s future success. It is not a reflection of the dedication or ability of those affected.”
“We recognize how painful this outcome is for those impacted and we are supporting them with transition packages and opportunity outreach. Crystal Dynamics remains committed to pushing the boundaries of making great games. This change does not alter our current project plans.”
The last time we heard from Crystal Dynamics, the company was working on its next Tomb Raider game. The studio was also recruiting more developers to make the game, including a senior franchise artist that would work on the Tomb Raider franchise as a whole.
The other major project currently being worked on at Crystal Dynamics is a new game in the Perfect Dark franchise. A job listing from back in February indicated that the studio, along with co-development partner The Initiative, might be looking to bring the title to the PS5 as well as Nintendo’s upcoming console, the Switch 2. The job listing was for the principal graphics engineer at The Initiative.
Back in October, the Perfect Dark reboot got a new creative director in the form of Insomniac Games’ Brian Horton. Before moving on to work with The Initiative and Crystal Dynamics, Horton worked with Insomniac Games and served as creative director on the still-in-development Marvel’s Wolverine.
Crystal Dynamics has been facing quite a few issues since the launch of Marvel’s Avengers. Back in 2023, when the studio was still working under the Embracer Group, it was hit by a round of layoffs affecting ten of its employees. At the time, the studio referred to the mode as being made due to “an internal restructuring to align the studio with current business needs.”
Around the same time, the studio had also ceased further development and support for Marvel’s Avengers. Since September 2023, the title has also been de-listed from all digital storefronts, rendering it essentially impossible to play for a new player unless they can get their hands on a used copy. Even then, only the single-player campaign from Marvel’s Avengers would be playable.
For more details on the fate of Crystal Dynamics’ last title, Marvel’s Avengers, here are our thoughts on the game. For a more positive note, check out some gameplay for Perfect Dark that showcased the title’s stealth gameplay and the various gadgets players will get.
This morning, Crystal Dynamics made the difficult decision to reduce our workforce by 17 talented team members. We did not make this decision lightly. Ultimately, this step was necessary to better align our current (cont) https://t.co/wKWtl5Be8S pic.twitter.com/q482GyteoJ
— Crystal Dynamics (@CrystalDynamics) March 26, 2025