Layoffs have become a perennial aspect of the gaming industry over the last few years. Avalanche Studios, the makers of Just Cause, is the latest victim, permanently closing the doors to its Liverpool office this week. Thirty-one developers have lost their jobs because of the closure, as the Sweden-based developer continues to operate two locations in Stockholm and Malmö. Avalanche released a statement on its website thanking the former staff.
“We are truly grateful for the dedication and invaluable contributions to Avalanche Studios Group.
Our focus remains on supporting the [staff] through this transition and to carry on making great games for our player communities.“
Fallout from Contraband’s Cancellation
As is common with game industry layoffs, the Liverpool office’s closure comes in the wake of a cancelled project. Revealed in 2021, Contraband was to be Avalanche’s next big title, developed in cooperation with Xbox Studios. While details were sparse, we know it was a co-op game set in the 1970’s against the backdrop of Bayan, a fictional country. The game was pitched as a “smuggler’s paradise,” and may have been a different, more tropical take on the open-world crime genre.
Sadly, we may never know. At the beginning of July, Xbox announced sweeping layoffs and cancellations covering multiple studios and projects. Contraband was caught in the crossfire, and in August Avalanche announced work on the project was suspended. While the game is still viewable on the studio’s website, the initial trailer is no longer viewable. While Avalanche said they were evaluating the project’s future, the closure of the Liverpool branch seems to confirm the game is dead.
The Latest Closure Thanks to Xbox
Unfortunately, Avalanche isn’t the only studio hit by Xbox’s July shakeup. In September, Crystal Dynamics laid-off employees after Perfect Dark was cancelled. The Initiative, an Xbox owned studio in charge of the remake, also closed its doors. Staff at Call of Duty studios Sledgehammer Games, HIgh Moon Studios, and Raven Software were also forced to leave. And both unannounced and announced projects like Zenimax’s secretive MMO and Rare’s Everwild were killed.
With Contraband seemingly dead in the water, Avalanche will likely be planning a new project to keep their remaining studios open. We might see a return to Just Cause, or they might salvage some of the work put into Contraband. In either case, they’ve got their work cut out for them.
Sourced from Insider Gaming. For more coverage, check back regularly with our Other Games section.
