As developers headed into their festive breaks, the layoffs that impacted the games industry viciously throughout the year unfortunately continued. On December 15th, news broke that 3D Realms and Slipgate Ironworks were the latest studios to face sudden layoffs. Developers from both companies announced their departure on social media.
While the number of those laid off has yet to be revealed, Scott Miller, the founder of 3D Realms who departed the studio following Embracer's purchase in 2021, has speculated that half of the company has been let go, in a move that is likely to also impact upcoming projects such as Tempest Rising.
Writing on Twitter about the news, he states, "Several sources have told me this bad news... Sorry to hear about another drop of the axe by Embracer Group, this time landing on Danish 3D Realms. A lot of people, including core devs, will be looking for work asap. Hopefully, they land jobs soon. This one hits me hard because I worked with the new 3DR from 2014 up until when they were bought out by Embracer 2.5 yrs ago."
Various media outlets have reached out to the Embracer Group. In a comment to IGN, they responded simply that "we do not comment on rumors or speculation". They do expand on the topic, stating that on June 13th, they announced a "comprehensive restructuring program for FY 23/24, running until the end of March 2023". The program includes a "series of initiatives that will focus on cost savings, capital allocation and operational and financial efficiency measures". They concluded by stating that their next quarterly report will be published on February 15th. Perhaps not the most sensitive or compassionate of messages.
Apogee Software was founded in 1987 by Scott Miller, before changing its name to 3D Realms. The rebrand was originally just for 3D games published after 1994, before the company underwent a full rebrand in 1996. Remedy's first title, Death Rally, was the only Remedy title created with 3D Realms under the original name. Things get a little complex on the history side, as in 2008, Terry Nagy licensed the rights to Apogee Software, including the name and logo and the rights to several games under Apogee. Both Apogee and 3D Realms are still active but separate.
We wish all those impacted by the layoffs find new and exciting adventures with companies they love as soon as possible. If your work is hiring, make sure to check out the IGN report for a list of developers looking for work.
