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Layoffs Hit Ninja Theory as Xbox Restructuring Continues

By Drooid · · How we work

Background and Recent Developments

In July, Xbox launched a major “reset” of its business, announcing a plan that included 3,200 job cuts and the removal of several studios. One of the affected studios was Ninja Theory, the UK developer behind the acclaimed *Hellblade* series. Xbox attempted to sell the studio twice, but according to a letter from Xbox chief operating officer Matt Booty, both sale-related agreements “fell through.”

Core Event: Redundancies Across the Studio

Last month, employees began posting on LinkedIn that they were facing redundancy. Long-time staff members shared personal reflections: principle sound designer Daniele Galante, who spent almost nine years at the studio, announced his position was at risk; gameplay programmer Katrin Mair described Ninja Theory as more than a job, noting she moved to the UK to work there and began her career at the studio; principle programmer Stefano Prosperi expressed difficulty processing the prospect of the studio’s end. Additional posts identified technical director Loong-Wei Ding, technical sound designer Alessio Mellina (who spent 12 years developing the series’ binaural audio), and performance-capture expert Xoe Suvari as among those affected.

Official Response from Microsoft

He also confirmed that the studio’s upcoming title, *Senua*, was announced at the Xbox Games Showcase, but did not specify its publishing fate.

Impact on Staff and the Studio’s Future

The layoffs leave the future of Ninja Theory uncertain. While some employees expressed sadness and disappointment, many also highlighted the professional growth and collaborative culture they experienced. The loss of key technical talent—particularly those responsible for the series’ award-winning audio and performance-capture pipelines—raises questions about the studio’s capacity to complete its next project.

Broader Implications for Xbox-Owned Studios

Ninja Theory’s situation mirrors wider anxiety among other Xbox-owned studios, as the “reset” has already reshaped studios such as World’s Edge, Rare, and Obsidian. The ongoing restructuring suggests that additional cuts may affect more development teams in the months ahead.