Singularity 6, the studio behind the cozy MMO Palia, has laid off 36 employees. This decision comes as the company navigates a challenging economic period. The layoffs represent about 40% of the studio’s workforce and follow a previous round of layoffs in April.
Reasons Behind the Layoffs
The studio told Game Developer that the layoffs were necessary to focus on supporting Palia and serving its community in the long term. A company spokesperson explained, “We had to restructure and reduce the size of our team to navigate this tough economic period.” Singularity 6 is committed to assisting the departing employees with their transition and hopes the industry will find new opportunities for these talented individuals.
Impact on Palia and Future Plans
Despite the layoffs, Singularity 6 reassured its players that Palia would continue to receive support and updates. The game, which launched on Steam in March, has been well-received, with over three million players. The development team remains dedicated to improving the game and delivering new content. Singularity 6 hinted at exciting plans for future projects, suggesting that the restructuring could lead to new and innovative games.
The layoffs at Singularity 6 are part of a broader trend of job cuts in the gaming industry. Recently, other studios like Square Enix, Studio Wildcard, Mighty Kingdom, and Phoenix Labs have also faced layoffs. The economic challenges affecting these companies highlight the difficulties many game developers are experiencing.
