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Dauntless and Fae Farm developer Phoenix Labs has announced another round of layoffs – its fourth since May 2023 – this time affecting the “majority” of staff at the studio.
Phoenix Labs enjoyed early success with its first game, free-to-play Monster-Hunter-like Dauntless, and the studio released its second title, Fae Farm, in 2023. However, the developer has faced multiple rounds of layoffs since its acquisition by blockchain company Forte Labs in 2023, starting with job cuts impacting 9 percent of its workforce in May that year. A further 34 layoffs followed seven months later, with an additional 140 jobs being cut last May. And, unfortunately for employees, layoffs have continued into 2025.
“Today is another difficult day at Phoenix Labs,” the developer wrote in a message posted to LinkedIn on Monday. “We have made the tough decision to part ways with the majority of the studio as part of unfortunate but necessary changes to our operations.”
We recognise and deeply appreciate the contributions of every individual impacted,” it continued. “Their talent, dedication, and creativity have left an indelible mark on our company and our games… To our industry peers, we encourage you to reach out to these exceptional individuals – they are some of the best in the business.”
As for Dauntless and Fae Farm, the studio says it’ll share more on their fate “in the coming weeks”, but notes its current focus is on “supporting those affected through this transition.”
Phoenix Labs’ announcement follows a devastating 2024 for the games industry – in which around 13000 employees are believed to have lost their jobs – and continues a January dogged by further layoffs and studio closures. Ubisoft, for instance, announced it was cutting 185 jobs this week, while Jar of Sparks – the studio founded by Halo Infinite head of design Jerry Hook – confirmed it had laid off “all” its team earlier this month. Last year, Chris Dring shared his thoughts with Eurogamer on why these layoffs are happening.
Kurt Indovina
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