Hi-Rez Studios, the game developer behind popular titles such as Smite and Paladins, has announced significant layoffs as part of its restructuring efforts, aiming to focus solely on the upcoming Smite 2. This decision has sent shockwaves throughout the gaming community, particularly impacting the esports scene associated with their existing franchises.
According to reports, approximately 70 employees were laid off across all divisions of the company, affecting various departments including marketing, game design, and production. Hi-Rez's president, Stewart Chisam, confirmed the layoffs via email, stating, "We know this is an exceptionally difficult time to find work in the industry, which makes it even more devastating to have let go of so many loyal and talented developers." The layoffs were deemed necessary to align the company’s operations with its focus on ensuring the long-term sustainability of its games.
These reductions come amid the closure of several existing titles. Players will no longer receive substantial updates for Smite 1, Paladins, and Rogue Company. While the servers for these games will remain active, the decision reflects Hi-Rez's clear pivot away from supporting older games to concentrate resources exclusively on Smite 2, which is currently available for early access. Chisam indicated, "These reductions should enable a steady flow of new content and the continued development of Smite 2, aligning team costs with revenue." This shift raises concerns among fans about the future of these beloved games.
Social media has been flooded with responses from laid-off employees, highlighting the human impact of these layoffs. Notable figures include producer Billy Basikally and designer Lexie "LermyWermy" Lerman, who confirmed via social platforms their exit from the company. Many affected workers have turned to Reddit and other forums to share their experiences, expressing disappointment and frustration over the circumstances.
The layoffs mark the third round of job reductions for Hi-Rez Studios. This follows earlier cuts made in June 2023 and October 2024, indicating deep-rooted issues within the company. The layoffs come at a time when the overall gaming industry is struggling, with other companies like Ubisoft and Midnight Society also announcing job cuts or the closure of studios.
Citing the competitive nature of the gaming industry, particularly for service-based titles requiring significant player engagement, Hi-Rez appears to be taking drastic measures to survive. The need for streamlined operations has been emphasized repeatedly, with many questioning whether this approach will be sufficient to assure the necessary player base for Smite 2.
Esports associated with Smite has also felt the brunt of these changes. Following the layoffs, the official Smite Esports website has been taken offline, signaling possible withdrawal from organized competitive play. This move has left many fans wondering about the future of the Smite esports community, especially after the recent Smite 2 Founder’s Series Championship crowned its winners. The abrupt changes have sparked discussions around the potential decline of once-popular esports titles.
Chisam’s remarks reiterated the company’s resolve to maintain the servers for existing titles as long as possible, cautioning players about the potential for future changes. "We plan to keep the servers and currently available content running as long as possible to allow you to continue to enjoy the game," he stated, calling out the importance of keeping some level of availability for fans.
The overall industry response to Hi-Rez's latest decisions has been mixed. Many gamers have expressed sympathy for those who lost their jobs, addressing the fallout from corporate decisions. Concerns have also been raised about the gaming market's sustainability and how beloved titles seem to be systematically neglected as companies push for newer projects.
The gaming community often witnesses stories like Hi-Rez Studios, where companies cut and pivot, leaving employees and longtime fans caught off guard. The impact of the latest layoffs at Hi-Rez stands as another reminder of the volatility faced by gaming developers trying to balance innovation with fiscal prudence. It remains unclear how these changes will affect the company’s viability and engagement with its audience moving forward.
Hi-Rez’s future now hinges largely on Smite 2 and its ability to reinvigorate the studio’s presence within the gaming arena. With anxieties mounting over the lack of content for existing games, both players and developers are left to ponder what will come next for Hi-Rez Studios. The hope for the community is simple: to see beloved franchises thrive again rather than diminish.