Velan Studios announces reorganisation, layoffs likely to occur

Velan Studios has announced that it is in the early stages of reorganisation, and has confirmed that layoffs will most likely occur as a result.

In a statement posted on social media, the New York-based studio said a project had been cancelled by an external developer, resulting in it not being able to maintain its current studio size of 121 people.

"46 team members were given notice that they might be impacted by a layoff in 60 days," it wrote. "For those employees who may ultimately be affected, we will do our best to support them through this difficult process. We are grateful to all our employees for their hard work, creativity, and dedication."

The studio continued: "In the near term, we are doubling down on our current games, some of which are scheduled to release later this year, and securing new partnerships to minimise impact."

Last February, Velan Studios announced that its live service game Knockout City would be shut down and would no longer be playable.

The game originally launched in May 2021, and was published by EA. Knockout City became free-to-play in 2022, after which the studio decided to self-publish the title.

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