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Avalanche Studios to Shut Liverpool Studio and Cut Staff in Sweden

The restructuring follows the halt to Xbox‑partnered Contraband after Microsoft’s mid‑year cuts.

Overview

  • Avalanche said it has proposed closing its Liverpool studio and begun the required UK collective consultation, affecting all staff there.
  • The company will reduce headcount and reorganize teams in its Malmö and Stockholm offices, with a pledge of support for affected employees.
  • No figures were disclosed on the number of roles at risk, and Avalanche’s website lists a workforce of over 600 across the group.
  • Active development on Contraband was stopped in August as the project’s future is evaluated, with multiple reports tying the halt to Microsoft’s broader layoffs and cancellations.
  • This marks another downsizing step after Avalanche closed its New York and Montreal offices in June 2024, when roughly 50 roles were cut.