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Renz O. Soliman

'Frostpunk' Dev 11 Bit Studios Announces Layoffs, Cancellation of 'Project 8'

Frostpunk 2 developer 11 Bit Studios lays off an unspecified number of staff and reveals that cancellation of Project 8. (Credit: Steam, 11 Bit Studios)

Developer 11 Bit Studios, who is responsible for the society survival franchise "Frostpunk," announces the layoff of an unspecified number of workers and the cancellation of "Project 8."

The latter is the developer's first console-centric title, and it was first developed in 2018. It was said that 37 people were working on the game by the end of September 2024. The studio also estimated that it had already spent $11.8 million on the game's development.

A New Round of Layoffs

The developer posted on its website where it revealed that a recent review of "Project 8" resulted in the studio's management board terminating the project altogether.

President Przemyslaw Marszal added that more than half of the team working on the game will be offered new opportunities on other projects within the company.

It was also said that the people who were affected by the layoffs would be given severance packages, assistance in finding new jobs, and psychological counseling.

Now, 11 Bit Studios is trying to explore how the assets that were developed for "Project 8" could be used or adapted for its other projects, according to Games Industry.

Marszal said in a statement that their vision for "Project 8" was that it was planned to be the studio's first title designed specifically for consoles. He noted that the idea itself was "bold and exciting."

However, he argued that "Project 8" was conceived under very different market conditions, which is when narrative-driven, story-rich games had a stronger appeal to the video game industry as a whole.

Cancellation of Project 8

Some fans are worried that 11 Bit Studios believes that there is less interest in games that focus on narrative-driven components. The company said that with "Project 8," they experienced both breakthroughs and setbacks, Rock Paper Shotgun said.

Marszal also said that during the coronavirus pandemic, it was difficult to stabilize the development team, but they were still able to progress in the development of "Project 8."

He argued that they experienced issues with several critical aspects of the game and its development process.

He added that over time, the delays accumulated, and with each milestone, the budget for the project grew. Marszal said that 11 Bit Studios will continue intensive work on several key projects moving forward, including "Frostpunk 2."

The latter recently became the studio's first title to win the industry's prestigious The Game Awards. Additionally, the developer is preparing for the launch of "The Alters," which is another game that many players are waiting for, according to WCCFTech.

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