A character waving his hand in Phoenix Labs' Dauntless

Dauntless Developer Phoenix Labs Lays Off "the Majority of the Studio"

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Published: January 28, 2025 9:00 AM

Dauntless and Fae Farm developer Phoenix Labs has laid off the majority of its remaining employees as part of what it describes as "unfortunate but necessary changes to our operations".

In a post on LinkedIn, the studio says the layoffs were a "tough decision" and that it "recognize[s] and deeply appreciate[s] the contributions of every individual impacted". The studio stops short of saying exactly how many employees will be affected by these layoffs.

If you're wondering what this might mean for Dauntless (or, indeed, for cozy sim Fae Farm), Phoenix Labs says it'll share more on its plans for these games "in the coming weeks".

The player fighting an ice monster in Dauntless, a Phoenix Labs game
Dauntless' Phoenix Labs has laid off the majority of its remaining staff.

Beyond the rather vague "unfortunate but necessary changes", Phoenix Labs doesn't offer any kind of reason as to why this decision has been made.

However, the studio has come in for criticism recently regarding the most recent major Dauntless update, otherwise known as Awakening.

The update has proven unpopular with players, resulting in the game hitting an Overwhelmingly Negative rating on Steam, where it was released on the same day as the Awakening update landed.

Criticism included the update's changes to monetization, progression, and other gameplay systems, with some laying the blame at the feet of Phoenix Labs' owner Forte Labs, a blockchain-focused company that purchased the studio from former owner Garena (from which Forte itself spun off) in 2023.

The changes to Dauntless proved unpopular enough to prompt Phoenix Labs to issue an apology and promise to make "immediate adjustments" back in December, but if the game's current Steam player count (at time of writing) is anything to go by, those changes haven't made much of a difference.

It's worth noting that even if Phoenix Labs' layoffs are directly related to Dauntless' recent performance, the studio is far from alone in laying off employees; these layoffs are taking place against the backdrop of a much wider wave of staff cuts, project cancellations, and studio closures.

Other studios hit in recent months include Unknown 9: Awakening developer Reflector Entertainment, tech giant Microsoft, and (reportedly) Suicide Squad: Kill the Justice League outfit Rocksteady, among many others.

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More Info About This Game
Learn More About Dauntless
Game Page Dauntless
Developer
Phoenix Labs
Publisher
Phoenix Labs
Platforms
PC
Release Date
December 31, 1969 (Calendar)
Genre
Action RPG