People Can Fly Confirms Additional Layoffs Amid Project Cancellations

Polish game developer People Can Fly, best known for Outriders and Gears of War: Judgment, has announced further layoffs following the suspension of two major projects: Project Gemini and Project Bifrost.

In a heartfelt statement, studio CEO Sebastian Wojciechowski confirmed the difficult decision to halt development on both titles, citing a lack of clarity and support from publishing partners — particularly regarding future funding and milestone commitments.

"Today we made a very difficult decision to suspend the development of Project Gemini and Project Bifrost — the relevant updates have been shared publicly," Wojciechowski wrote.

Reasons Behind the Cancellations

• Project Gemini (developed in partnership with Square Enix) was suspended due to the publisher’s failure to deliver a draft of the follow-up content rider to the Publishing Agreement. This omission left critical questions about milestone payments and project direction unresolved, with no clear communication from Square Enix on whether they intended to continue or terminate the project.

• Project Bifrost, a self-published title, was canceled for similar reasons — including a lack of publisher engagement — compounded by a sobering assessment of the studio’s cash flow and resource availability. Internal analysis revealed that continuing either project would have required more funding than the company could realistically secure.

"As a result, we must significantly restructure as a studio and reduce our team size — which is the most painful outcome. We deeply regret how these events have unfolded and sincerely thank everyone for their contributions up to this point."

Context: A Studio in Turmoil

This latest wave of layoffs follows a prior restructuring in late 2023, when People Can Fly laid off 120 employees — roughly a third of its workforce — amid financial strain and shifting project priorities.

Despite these setbacks, the studio continues to work on several high-profile collaborations:

• Project Echo with Krafton (developer of Battlegrounds and Blue Protocol)
• Project Delta with Sony (rumored to be a next-gen narrative action title)
• Gears of War: E-Day, a new entry in the long-running franchise, developed in partnership with Microsoft Game Studios

Additionally, People Can Fly recently released Bullestorm VR, a reimagined version of its classic 2004 shooter, now available on Meta Quest and PSVR 2.

Industry Reaction and Uncertainty

While Square Enix has not officially responded to the cancellation of Project Gemini, the studio’s own website previously listed it as a co-developed project. The absence of comment from Square Enix adds to growing speculation about the state of partnerships within the publishing ecosystem.

Meanwhile, Project Bifrost, as a self-published title, raises concerns about the risks of independent publishing — especially for studios already operating under financial pressure.

Looking Ahead

The suspension of two major projects and the resulting team reductions mark a major turning point for People Can Fly. Though the studio remains active on key franchises and new ventures, its future now hinges on:

• Strategic collaboration stability
• Clear, long-term funding from partners
• A sustainable path forward after multiple rounds of downsizing

As the gaming industry continues to grapple with post-pandemic budget tightening and shifting player demand, People Can Fly’s situation serves as a stark reminder of the fragility that even successful studios face when external support falters.

For now, the team presses on — but the road ahead is uncertain.

"We are not giving up. We are adapting. And we remain committed to delivering the experiences our players deserve."
— Sebastian Wojciechowski, CEO, People Can Fly