Phoenix Labs, the developer behind the free-to-play game Dauntless and the life-simulation game Fae Farm, has undergone a third round of layoffs in just over a year. This wave of layoffs has reportedly affected over 100 employees and has led to the cancellation of several projects.
The company confirmed the layoffs in a post on LinkedIn, stating that it is ‘reorganizing to focus on our best-in-class live service titles, Dauntless and Fae Farm, and serving their communities.’ This restructuring will involve discontinuing work on all other projects at the studio, impacting many employees immediately.
Sources on LinkedIn have indicated that some of the affected employees were working on unannounced projects that have now been shut down. One gameplay programmer claimed to have been working on a game that was set to be announced in three weeks.
Phoenix Labs has faced a series of challenges in recent months. In May 2023, the company laid off around 9% of its workforce to focus on fewer development projects. This came just one month after it regained its independence from Garena, a Singapore-based developer and publisher that had acquired Phoenix Labs in 2020. In December 2023, Phoenix Labs confirmed an additional 34 layoffs across its HR, IT, and shared services teams. The company’s CEO and COO also stepped down in September 2023 for personal reasons.
Despite these setbacks, Phoenix Labs remains committed to its flagship titles, Dauntless and Fae Farm. The company is expected to continue supporting and updating these games while exploring new opportunities for growth.
