Cryptic Studios, developer of Star Trek Online, Announces Layoffs

Cryptic Studios, a veteran game developer known for its massively multiplayer online games (MMOs) like Neverwinter and Star Trek Online, is once again laying off staff, nearly a year after the last round of job cuts. Founded in 2000, Cryptic Studios has made significant contributions to the online gaming landscape, including the creation of City of Heroes, a landmark MMORPG that influenced the superhero genre.

Over the years, the studio has developed several other MMORPGs, including Champions Online, based on the tabletop game, and the MMOs Star Trek Online and Neverwinter, both of which are still operational under Cryptic’s management. However, the studio’s future now appears uncertain following a report from Game Developer about the recent layoffs affecting its staff.

Several employees have taken to social media platforms like LinkedIn and Twitter to announce their layoffs, revealing that they would be leaving the studio by October 31, 2024. While the precise number of staff affected remains unclear, notable individuals, including Character Artist Amelia March and Senior Artist Mauricio Tejerina, are among those let go. Additionally, Art Director Thomas Marrone, who played a key role in modeling several ships for Star Trek Online, confirmed the layoffs on Twitter, expressing that many were being dismissed "through no fault of their own" and that their absence would be "deeply felt."

Recent Layoffs Come After Previous Cuts

These layoffs come almost a year after a significant reduction in workforce in November 2023, which was part of a restructuring initiative that saw the Embracer Group eliminate thousands of jobs across its studios.

Currently, Cryptic Studios is navigating a period of instability. While Star Trek Online and Neverwinter continue to thrive with dedicated player bases, the company is transitioning the operations and development of both titles to DECA Games, another entity within the Embracer Group that specializes in free-to-play and live-service titles. The future of Cryptic Studios is uncertain once this transition is finalized, raising questions about any new projects in the pipeline.

The upheaval that has impacted the Embracer Group following the failure of a major financial deal is still being felt by developers and personnel long after the fact. The group itself is undergoing a split, reallocating its extensive portfolio of intellectual properties and development studios acquired during a previous acquisition spree.