5 years after Avengers, 2 years after its last layoffs, and who knows how long before Perfect Dark and Tomb Raider return, Crystal Dynamics announces another round of layoffs

Crystal Dynamics, the storied studio that’s co-developing Perfect Dark and remains at work on an as-yet-untitled Tomb Raider game, has announced another round of layoffs affecting 17 employees.

“This morning, Crystal Dynamics made the difficult decision to reduce our workforce by 17 talented team members,” the company says in a statement posted to social media. “We did not make this decision lightly. Ultimately, this step was necessary to better align our current business needs and the studio’s future success. It is not a reflection of the dedication or ability of those affected. We recognize how painful this outcome is for those impacted and we are supporting them with transition packages and opportunity outreach.”

The company adds that this news “does not alter our current project plans.” In 2023, Crystal Dynamics announced that it was laying off nine employees in its brand and marketing division, and one from IT, which came while its parent company, Embracer Group, was making thousands of layoffs across its vast holdings.

Crystal Dynamics had some input on the recent Tomb Raider remasters, but its last major release was Marvel’s Avengers in 2020. Avengers was, of course, among the many games that Crystal Dynamics’ then-owner Square Enix had found to be not “as successful as we would have liked,” and the studio was acquired by Embracer Group in 2022.

Now, under Embracer, Crystal Dynamics is co-developing Perfect Dark alongside The Initiative at Xbox, and working on an untitled Tomb Raider game that will be published by Amazon. Last year, Amazon’s gaming boss said Crystal Dynamics was “fairly sheltered” from the wider chaos at Embracer, but while 27 layoffs over the course of three years pales in comparison to the worst mass firings we’ve seen the game industry, it seems that shelter only goes so far.

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