Despite a relatively big release in Tony Hawk’s Pro Skater 3 + 4 last year, Iron Galaxy Studios has announced a new wave of layoffs.
“Today, Iron Galaxy Studios regrets to announce that we are reducing our company size. A number of teammates and friends are losing their jobs as we adjust to a new company structure. We are terribly sorry to lose them as we take steps to adapt to the climate of the video game industry. It’s time for us to evolve again,” it wrote on LinkedIn.
While the exact number of layoffs is unknown, a source speaking to Kotaku claimed that up to 90 employees could be at risk.
Iron Galaxy wrote about the “many different forms” it’s had as a company, and how its focus and size have changed throughout the years. In 2020, it was having conversations about “waiting for business ‘to get back to normal,'” but it seems that possibility has diminished. “This year, we’re adopting a new posture to accept these current market conditions as permanent.
“Players consume games in new ways. Publishers have different criteria for investing in the development of games. This new normal has impacted all our partners. As Iron Galaxy adapts, we must make painful decisions about what we can be as a company. It’s impossible for us to sustain the team size that we’ve carried this past year, even after our downsizing from last year.”
Last year, the studio laid off 66 employees from its development team and support staff, which it called a “means of last resort for us.”
“We hate losing people. One of our core values is providing a wonderful experience for the talented folks who work for us. The best we can do for them today is to help them start writing the next chapter of their career. They are all welcome to introductions and referrals from us. If you need good people, please be on the lookout for them.”
Iron Galaxy has had a string of ups and downs throughout the past several years. At one point infamous for its work on the PC port of Batman: Arkham Knight, it rose to prominence for supporting Killer Instinct. This would continue into 2023 when it adds 4K support and a free version of the game for its 10th anniversary.
It would subsequently work with Gearbox Software, Blizzard Entertainment, and Bethesda on various Nintendo Switch ports of prominent titles. However, in 2022, it launched Rumbleverse, a free-to-play battle royale title centered on wrestling, which failed to meet expectations and shut down in 2023. In that same year, it released the much-maligned PC port of The Last of Us Part 1, almost coming full circle.
The Last of Us Part 2 Remastered avoided such issues when it launched in 2024 for PC, but it wasn’t enough to stave off last year’s layoffs.
