Crystal Dynamics has laid off an unspecified number of employees, citing “evolving business conditions” as the reason. The announcement, made via a LinkedIn statement, did not disclose the exact number of affected individuals but emphasized the necessity of the decision for the studio’s long-term health in a changing market. These layoffs appear to be a consequence of Microsoft’s cancellation of the Perfect Dark project, which Crystal Dynamics was co-developing with The Initiative.
The Initiative was shut down in July following the Perfect Dark cancellation. Crystal Dynamics had been brought in to revitalize the Perfect Dark project after initial development challenges. While the company’s statement doesn’t explicitly link the layoffs to the Perfect Dark cancellation, social media posts from former employees suggest a connection.
Crystal Dynamics was acquired by the Embracer Group in 2022 and at that time the studio had 273 employees across its Austin, Bellevue, and San Mateo offices. The studio previously laid off ten employees in 2023 and seventeen earlier this year. The current number of employees remains unclear. The company has confirmed that the Tomb Raider project remains unaffected by the recent layoffs.
