Theodore McKenzie
Head of Content
Published
08 July 2025
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News
Video Games
Business
Layoffs
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Despite losing funding from its publisher – widely believed to be Microsoft/Xbox – and consequently the entire production team, it turns out Romero Games hasn’t been shut down entirely, with the studio issuing an official update stating that reports of their death are greatly exaggerated.
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For context, following the news of Microsoft – presumably – pulling Romero Games’ funding, several developers came forward to reveal that the studio’s entire staff of over 100 people had been fired and claim that the studio itself was shut down as a result, with Brenda Romero noting that the decision came from a high level within the publisher.
With former devs claiming the studio was taken behind the barn, Romero Games remaining silent, and the idea of the studio still existing despite losing 99% of its workers seeming bizarre from a common-sense perspective, many naturally assumed that RG had indeed been closed – something some said wouldn’t have been too unexpected considering the lack of major hits from the developer in nearly a decade.
Luckily, it ended up being nothing but a big misunderstanding, with Romero Games providing an official update on its situation. According to the developer, while they have indeed lost their publisher, canceled their work-in-progress game, and now have to “reassess the entire staffing of our studio” – which has to be the most corpo way to say “everyone is now unemployed” – the studio itself is still alive, and the Romeros are doing everything they can to keep it that way.
Even better, the statement revealed that the studio has been contacted by several publishers interested in saving the canceled title and bringing it “across the finish line,” with Romero Games currently evaluating those proposals. Here’s the full statement as shared by RG:
So, what do you think about Romero Games’ situation? Is this whole statement just an attempt at damage control to close things out with some dignity, or does RG actually have a shot at rising from the ashes, rebuilding a team, and finishing the game? Let us know what you think down in the comments!
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