Previously, the team who used to lead Unknown Games has alleged that Krafton intentionally delayed the launch of Subnautica 2 with malicious intent, aiming to skirt a potential $250 million obligation in a legal dispute.
On July 1, founders Charlie Cleveland and Max McGuire, along with CEO Ted Gill, were dismissed from their roles at the studio due to a dispute regarding the delay of the game, resulting in an ongoing exchange between the former developers and the publishing company.
Initially, news emerged that the development team’s potential $250 million bonus was at risk due to a delay in launching Subnautica 2 to 2026. This delay would hinder them from meeting specific revenue targets for the year 2025, which were part of the terms when they acquired Unknown Worlds back in 2021.
Krafton recently explained the reason behind the delay, attributing it to a lack of key leadership and inconsistent guidance. It has since been made known that Cleveland, McGuire, and Gill are taking legal action against their previous employer. The details of this lawsuit are now accessible to the public, as reported by Bloomberg and shared by Aftermath.
Krafton hit with lawsuit by former Subnautica 2 leadership
The trio claimed that Krafton warned the management team that the early access launch would be detrimental to them, hence they made extra efforts to postpone the release instead.
The document states that Krafton actively worked to postpone Subnautica 2’s launch for several months. This included withdrawing essential promotional materials, failing to honor vital collaborations, and backing out of agreed-upon responsibilities related to critical pre-release duties.
Several employees at Krafton stated that their actions aimed to thwart the earnout, although the earnout contract specifically forbade such steps.
The statement continues by asserting that once these endeavors fell through and Unknown Worlds remained hesitant about launching, Krafton was forced to take drastic action and terminate the previous owners without providing a reason.
As a passionate fan, I’d rephrase it like this: I’ve learned that Krafton has addressed the ongoing legal matter through a statement shared with GamesRadar+. They expressed their disappointment that the situation had escalated to this point.
A representative from Krafton stated that their decisions were aimed at making Subnautica 2 an exceptional game that meets fan expectations. Rushing to release the game before it was fully developed with adequate content would have been disappointing for the players, who are crucial to Krafton’s operations, and could potentially damage both the Subnautica brand and Unknown Worlds’ reputation.
Though it’s unfortunate that Charlie, Max, and Ted have chosen to sue us for a large amount, we are prepared to argue our case in court. In the interim, Krafton will continue to prioritize its efforts towards producing an exceptional game for Subnautica’s players as swiftly as possible.
Meanwhile, it’s been confirmed that Subnautica 2 will be pushed back to 2026 for release. In the meantime, Steve Papoutsis, CEO of Striking Distance, is now in charge of Unknown Worlds.
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2025-07-17 13:18