Swedish company Enad Global 7 has closed developer Toadman Interactive and laid off 69 staff, as well as imposed a round of layoffs at Piranha Games, potentially affecting PlanetSide 2.
The Toadman team reportedly had responsibility for the development of PlanetSide 2 since last year, having purchased its IP from Daybreak Games, which continued as publisher.
PlanetSide 2 boasts a 12-year-old MMOFPS that underwent development and server mergers, as well as a planned new assault mode.
Swedish firm EG7 says in its statement that the decision is down to the continued industry challenges and the studio’s inability to secure new work-for-hire contracts at a necessary pace.
EG7 CEO Ji-Ham lays blame on MechWarrior 5: Clans for failing to attract new audiences, meaning 38 Piranha Games employees lost their jobs.
The press release suggests the completion of 2025 features, thanks to the contracted employees who will continue to work on the Daybreak and Cold Iron projects.
Neither announcement gives details on what these layoffs will mean for the future of PS2 or MWO.
MWO continues to release planned DLC for MW5: Clans, while PS2 has made no official announcements relating to this piece of news.
Users are worried about both games and PS2 players have been left dismayed by the lack of traction surrounding the game.