Developers making shroud’s AAA survival game facing studio-wide layoffs

Splash Damage, a UK-based game development studio, is undergoing layoffs affecting the entire company. The studio, famous for the first-person shooter Dirty Bomb, was also developing a large-scale survival game with popular online creators shroud and Sacriel.

On November 26, 2025, Splash Damage announced it will begin a consultation process that affects all of its employees. This follows earlier layoffs the company made after canceling their online Transformers game, and the announcement was made via LinkedIn.

Splash Damage, a UK-based game studio founded in 2001, is best known for its fast-paced shooter, Dirty Bomb, which is challenging to master. They’ve also worked with Microsoft on games like Gears 5 and Gears Tactics, and have contributed to several remastered titles.

The discussions are likely to lead to job losses, although we don’t yet know how many people will be affected. This creates uncertainty about the future of Project Astrid, the major game supported by shroud and Sacriel.

Splash Damage facing company-wide layoffs

We made a tough decision, but it’s important for Splash Damage to stay flexible and responsive in today’s difficult market, according to a company statement.

We understand this change is difficult for everyone, and we’re committed to supporting our team with honesty and compassion as we move forward.

Over the next few weeks, the team will focus on keeping valued employees while also helping those whose positions are being eliminated. It’s currently uncertain what this will mean for the studio’s future.

Splash Damage’s most recent original game, Outcasters, came out in 2020 for Google Stadia. In 2023, the studio announced a new, large-scale project called Project Astrid.

The team was creating a high-quality survival shooter, and they collaborated with popular streamers shroud and Sacriel. Shroud even called it the game he’d always wanted to play.

Shroud said the game’s smooth shooting, expansive open world, and challenging fights were a unique combination he hadn’t experienced in gaming before.

“My aim is to create the ultimate game, and that’s what Splash Damage is striving for too,” explained the former Counter-Strike player in the game’s announcement video.

As of now, neither Shroud nor Sacriel have made any public statements regarding the upcoming layoffs at the studio.

This news comes shortly after another unsuccessful gaming venture for shroud. Spectre Divide, a 3v3 tactical shooter, launched on September 3, 2024, but was taken offline after just six months due to a declining player base. The development team, Mountaintop, then shut down shortly after.

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2025-11-27 03:49