Overview

• Phoenix Labs announced layoffs impacting the majority of its staff, with speculation from former employees suggesting a potential studio closure.
• The layoffs follow a series of challenges, including canceled projects, restructuring, and a poorly received update to Dauntless in December 2024.
• The December update for Dauntless introduced controversial monetization changes and reset player progress, leading to overwhelmingly negative reviews on Steam.
• Since its acquisition by blockchain company Forte Labs in 2023, Phoenix Labs has faced secrecy, layoffs, and pressure to explore blockchain integration, though no such projects were publicly announced.
• The future of Phoenix Labs' games, Dauntless and Fae Farm, remains uncertain, with the company promising updates in the coming weeks.