NCSoft Restructures, Launches New Subsidiaries Amid Financial Struggles

The South Korean game developer announces layoffs and the formation of four independent studios to streamline operations and improve financial health.

NCSoft is creating four wholly-owned subsidiaries, including three game development studios and one AI-focused entity, to operate independently starting February 1, 2025.
The restructuring will result in an undisclosed number of layoffs, with some employees reassigned to other projects within the company.
Two game projects, Project M and Battle Crush, have been canceled as part of the company's strategic shift.
Despite a successful global launch of Throne and Liberty, NCSoft reported a significant decline in revenue and operating profit in Q2 2024.
Co-CEOs Taek-Jin Kim and Byung-Moo Park cited financial deterioration as a key reason for the restructuring, aiming to prevent the company from becoming a chronic deficit business.