Back to today’s briefing

Story perspectives

Subnautica Founders Sue Krafton Over $250M Earnout Dispute

7/17/2025

41 5

Summary

Story summary

The founders of Unknown Worlds, the minds behind Subnautica, are taking legal action against Krafton after their unexpected firing during the troubled development of Subnautica 2. They allege that Krafton is trying to dodge a hefty $250 million earnout. In response, Krafton defends the leadership change as essential for the game's quality, while the lawsuit demands compensation and the return of control.

History

Historical Context

The 1983 Video Game Crash reshaped the industry, leading to the decline of companies like Atari and fostering a more cautious development climate. In 2025, Krafton replaced Unknown Worlds' leadership amid a legal dispute over a $250 million earnout related to the delayed release of Subnautica 2, highlighting ongoing tensions in the gaming sector regarding creative control and financial accountability.

1 of 2

Story summary

The founders of Unknown Worlds, the minds behind Subnautica, are taking legal action against Krafton after their unexpected firing during the troubled development of Subnautica 2. They allege that Krafton is trying to dodge a hefty $250 million earnout. In response, Krafton defends the leadership change as essential for the game's quality, while the lawsuit demands compensation and the return of control.

1 / 2