As 2023 comes to an end, it is with just as much unfortunate news as there has been throughout the rest of the year, regarding job losses across the gaming sector. Studio shutdowns always affect an entire team badly, and continuing the trend this year is the US-based studio, Team Kaiju, which is being shut down by its parent company, Tencent.
Kaiju was established just three years ago and was said to be working on a AAA multiplayer title, which has also been canceled. Several members working for the studio are said to have moved to other projects within Tencent. The Chinese giant also quite recently filed for a new trademark in Europe.
Team Kaiju Shut Down Following Weeks of Rumors
Rumors of Tencent shuttering Team Kaiju have been going around for a week, after well-known video game researcher, Kurakasis posted on X to report on the alleged news. Kurakasis also mentioned in a LinkedIn post last week that an ex-developer from the now-closed studio indicated the studio’s official website was not working.
The actual date the studio was closed remains unclear yet, as it was well before last week when the rumors started. Kurakasis also mentioned that there was no reference of anyone working for Team Kaiju on LinkedIn. Before its closure, the studio was said to be working on a PvEvP game. The project was being overseen by former Halo 4 Design Director, Scott Warner, and Battlefield veteran, Rosi Zagorcheva.
Both Warner and Zagorcheva have now also updated their LinkedIn profiles to reflect the new teams they’re working for. When Team Kaiju was established by the Chinese firm, it was considered an important part of the Chinese giant’s expansion plan for the Western market.
It wasn’t the first North American gaming studio under Tencent, as the first studio was Lightspeed L.A. Lightspeed also recently showcased a Cyberpunk-themed open-world game titled Last Sentinel, during this year’s The Game Awards.
There’s no release date for the title as of yet, since the teaser for the game didn’t reveal a date. This could be an indication that the game is still in early development and could still take a couple of years to be released. As for Team Kaiju’s closure, there have been several disappointing reactions shared online as the year’s ending with yet another studio shutdown.
Fan Reactions to Team Kaiju Shuttering
In a statement shared by Tencent about the closure of its subsidiary studio, it was mentioned that several team members will move forward to work on projects under the TiMi Studio Group. The statement also said Tencent bid farewell to “few talented teammates“.
The year has been rough with several developers losing their jobs, and fans have been sharing their disappointment on Reddit. One user mentioned the specific timing, just before the holidays, being the worst time for a studio to shut down and for members to lose their jobs. Most others hoped for studios to stop going after live-service games, as several attempts have failed this year alone, leading to jobs lost and studio closures.
Another comment added concern for the remaining studios that were recently founded and could continue the unfortunate trend in the coming years. It was backed up by another comment that mentioned just how long games take to be fully developed, and until it’s released there is no assurance of it doing well.
There’s still hope surrounding Last Sentinel, which looks impressive from the only teaser released so far. If the game does well, their Western market expansion might continue. Tencent is known to be more successful with mobile gaming titles and would like to hit it off in the console and PC gaming space even more.
With the holidays starting next week, fans also hope there are no more jobs lost at least until the end of the year. Apart from these, gamers and fellow gaming studios would also hope there wouldn’t be as many leaks either, which also affects developers a lot.
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