Tomb Raider Studio Crystal Dynamics Undergoes Second Round of Layoffs This Year

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Turmoil Continues With No Sign of New Tomb Raider Game!

Story Highlight
  • Crystal Dynamics underwent its second round of layoffs this year.
  • The studio says that the future of the next Tomb Raider game is unaffected by this change. 
  • Reports say otherwise, suggesting that the game’s development is in trouble.

2025 hasn’t been kind to the video game industry, with several studio closures and game cancellations. Crystal Dynamics has suffered from similar bad luck, as their co-developed title, Perfect Dark, was recently canceled, following which the studio underwent layoffs.

Unfortunately, Crystal Dynamics has now undergone a second wave of layoffs this year, with ongoing uncertainty surrounding the next AAA Tomb Raider game.

Why it matters: Two rounds of layoffs in just over six months aren’t a good sign and indicate that the veteran studio is in a dire condition. As such, the future of Tomb Raider is questionable and in doubt.

crystal dynamics layoffs
Crystal Dynamics Announces That It’s Cutting Down Its Workforce On LinkedIn

On LinkedIn, Crystal Dynamics announced these layoffs due to ‘evolving business conditions,’ saying:

This decision was not made lightly. It was necessary, however, to ensure the long-term health of our studio and core creative priorities in a continually shifting market.

The number of affected employees remains uncertain; however, the studio currently comprises more than 200 people across three offices. Embracer Group had also promised to shield the studio from layoffs, but this is the second time they have broken their promise.

Regarding Tomb Raider, the studio stated that the game’s future remains unaffected by this decision. Despite this statement, there is no formal announcement regarding the development progress.

tomb raider 12 game
Crystal Dynamics And Eidos Montreal Plan To Release 5 AAA Games By 2028

Previously, a report revealed that the studio had been struggling with the development of Tomb Raider, which now seems increasingly plausible by the day. Neither Crystal Dynamics nor Embracer Group appears to acknowledge the game’s release date in their list of upcoming releases.

Crystal Dynamics’ Tomb Raider game is being developed using Unreal Engine 5, with development funded by Amazon Games. With only a few months left until 2025 ends, it’s unlikely that we’ll get a teaser now. At best, expect an unveil for the game next year.

What are your expectations for the next Tomb Raider game? Let us know in the comments below, or at the official Tech4Gamers Forums.

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