Eidos Montreal Faces Layoffs and Studio Uncertainty
▼ Summary
– Eidos Montreal is laying off 124 employees, citing changing project needs and a need to concentrate efforts.
– Studio head David Anfossi is stepping down after 19 years, with a leadership transition plan now underway.
– This is the latest in a series of layoffs, following rounds in December and March 2025.
– The layoffs coincide with the reported cancellation of the studio’s latest unannounced game.
– The studio had been developing a costly AAA open-world game since 2019 and has shelved several other projects, including a Deus Ex sequel pitch.
The video game industry faces another significant workforce reduction as Embracer Group-owned Eidos Montreal announces it is cutting 124 positions. This latest downsizing also coincides with the departure of studio head David Anfossi, a veteran leader with nearly two decades at the company. The studio cited evolving project requirements as the primary driver for the difficult decision, which affects both production and support staff.
In a public statement, the studio expressed profound gratitude for the contributions of the impacted employees, emphasizing that the layoffs are not related to their talent or performance. The priority, according to the announcement, is to support those affected with care and respect while maintaining continuity for the remaining teams. The statement also confirmed Anfossi’s exit, thanking him for his service and noting that a transition plan for new leadership is in progress, with updates to follow.
The absence of an immediate successor announcement raises questions about the preparedness of that transition plan. This marks the third major round of layoffs at the studio in just over a year, following cuts in December 2025 and an initial wave affecting 75 people in March 2025. The pattern points to ongoing instability within the Embracer Group restructuring that has rippled across its portfolio.
Reports from earlier this year indicated the studio was developing a new AAA open-world action-adventure title, in the works since 2019, which faced serious financial viability concerns. This project has now reportedly been canceled alongside the layoffs. Eidos Montreal has a history of shelving ambitious concepts, including pitches for a new Deus Ex sequel. The studio’s most recent major release was 2021’s Marvel’s Guardians of the Galaxy, and it has since provided development support on titles like Grounded 2 and the upcoming Fable for Xbox. The cancellation of its flagship project casts further uncertainty on the studio’s future direction and creative pipeline.
(Source: Kotaku)
