11 Bit Studios, the Polish game developer behind Frostpunk and the upcoming title The Alters, has laid off 20 employees. The company confirmed the job cuts in a statement, citing a need to align new project teams with current business requirements.
The reduction affects approximately 20 roles. This represents a small portion of the studio’s overall workforce, which included roughly 250 employees before the layoffs. The company did not specify which departments or projects were most impacted.
In its statement, 11 Bit Studios described the move as an adjustment of new project teams to current needs. The company framed the decision as part of standard operational review rather than a sign of financial distress. No other details were provided regarding the specific nature of the affected project teams.
Background on 11 Bit Studios
11 Bit Studios is based in Warsaw, Poland. The company is best known for developing Frostpunk, a survival city-building game released in 2018, and This War of Mine, a war survival game released in 2014. Both titles received critical acclaim and commercial success.
The studio is currently developing The Alters, a science fiction game focused on alternate realities and survival mechanics. The Alters was originally announced in 2022 and is scheduled for release in 2025 across multiple platforms including PC, PlayStation 5, and Xbox Series X|S.
Industry Context
The layoffs at 11 Bit Studios come amid a broader wave of job cuts across the video game industry. Major companies including Microsoft, Sony, Electronic Arts, and Unity have announced significant workforce reductions throughout 2024 and into 2025. Smaller studios have also been affected by rising development costs, shifting consumer spending patterns, and post pandemic normalization of game production pipelines.
Industry analysts have noted that many developers are restructuring their teams to focus on fewer but more polished projects. This often involves reducing headcount on experimental or early stage titles while redirecting resources toward established franchises or near term releases.
Reactions and Implications
As of publication, no public statements from affected employees or labor groups have been issued regarding the layoffs. The company did not disclose whether severance packages or outplacement services were offered to departing staff.
The job cuts could delay certain internal projects, though 11 Bit Studios has not indicated any changes to the release schedule for The Alters. The studio continues to recruit for some positions, suggesting the layoffs are targeted rather than a companywide hiring freeze.
For an independent developer of 11 Bit Studios size, losing 20 employees represents a notable but not crippling reduction. The company maintains a portfolio of legacy titles generating ongoing revenue and retains a core team for its flagship projects.
Further updates regarding the status of affected projects and future hiring plans are expected in the company’s next quarterly report. Industry observers will watch for signs of additional restructuring as the studio prepares to launch The Alters later this year.
Source: GamesIndustry.biz
