Don't Nod, the studio behind titles such as Jusant, Life is Strange 1 & 2 and the upcoming Lost Records: Bloom & Rage, has announced that 69 jobs are at risk as it begins a “reorganization project to ensure continuity of the company in the long term. “term future” amid “deteriorated” financial results.
Signs that the studio was facing difficulties emerged earlier this year when it announced it would partially write down €24 million following the poor performance of Jusant and Banishers: Ghost of New Eden. It also confirmed that it would cancel development of an unannounced project, codenamed P10, while two additional projects developed in Paris (codenamed P12 and P13) had been temporarily suspended to “prioritize resources and maximize possibilities.” of project success”. most promising titles today.” Despite all this, he remained optimistic about the prospects for Lost Records: Bloom & Rage, noting that he had two additional in-house projects in the works, both scheduled for release in late 2027.
But in its just-released 2024 half-year results update, Don't Nod has acknowledged “very negative results despite [these] measures to improve performance”, and has announced a “reorganization project to safeguard its competitiveness in an increasingly demanding and competitive ecosystem” that may affect up to 69 jobs. “Today there has been a first exchange with the bodies of representation of the workers,” he noted, “and subsequently an information-consultation process will begin with these same organizations on this project.”
In a statement accompanying today's news, Don't Nod CEO Oskar Guilbert wrote: “Our half-year results for 2024 reflect the poor financial performance of our last release, despite strong ratings from Metacritic, as well as the accounting impact of the decisions we make. The initial performance support measures announced last spring no longer seem sufficient to maintain the company's competitiveness. That is why today we have presented a draft to the employee representative bodies. reorganization that could put Don't Nod on a new development trajectory. I am fully aware of the impact this project can have on all our employees Securing our company's resources and restoring its ability to perform better in an increasingly growing industry. competitive and selective is extremely necessary.
In addition to its internal projects, Don't Nod is supporting two external publishing projects launching in 2025, but Lost Records: Bloom & Rage will be the company's next big first-party release when it launches on PC, PlayStation 5, and Xbox. Series