People Can Fly Scales Back Games and Lays Off 120 Workers

People Can Fly, the studio renowned for titles like Outriders and Gears of War Judgment, has recently announced significant cutbacks due to "external market pressures." The company's CEO, Sebastian Wojciechowski, revealed on X/Twitter that multiple projects are either being suspended or scaled back, including Project Victoria and Project Bifrost. This decision follows the earlier cancellation of Project Dagger, an action-adventure game in collaboration with Take-Two Interactive. Alongside these project adjustments, the studio is laying off 120 employees, further contributing to a worrying trend of layoffs in the gaming industry. The studio intends to refocus on a single independent game and new work-for-hire engagements, indicating a strategic shift in their operations.

People Can Fly’s decision to suspend several projects stems from ongoing external market pressures that exceeded their initial forecasts, compelling the studio to restructure and refocus on fewer projects.

People Can Fly gained recognition with its successful release of Outriders in 2021, a cooperative third-person shooter that blends looter mechanics with a gripping narrative. The studio was previously involved in notable projects within the Gears of War franchise, showcasing its capacity for impactful storytelling and engaging gameplay. As the gaming landscape evolves, the studio aims to adapt and navigate these challenging market conditions while targeting future projects, such as Project Gemini, which is being developed in collaboration with Square Enix, expected to launch in 2026.