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Subnautica 2 Founders Sue Krafton, Allege Delayed Release to Withhold $250M Earn-Out

A Delaware complaint asserts Krafton postponed the sequel’s early access to block founder bonuses, prompting an extension of the earn-out deadline into 2026

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Scuba diver in Subnautica 2

Overview

  • The 58-page lawsuit filed July 16 in Delaware Chancery Court accuses Krafton of breaching contract and orchestrating a months-long campaign to delay Subnautica 2’s 2025 launch to avoid a $250 million earn-out.
  • Former Unknown Worlds executives Charles Cleveland, Ted Gill and Max McGuire claim Krafton pulled marketing resources, stalled key partnerships and replaced studio leadership with Steve Papoutsis to derail the game.
  • Krafton officially pushed early access into 2026 under new management, citing insufficient content volume and development progress as justification for the postponement.
  • Publisher extended the performance-based earn-out window to December 2026 and advanced part of the 2026 bonus this year to address founder payout concerns.
  • The dispute has intensified scrutiny of creative autonomy and performance-tied compensation in major game-studio acquisitions as both sides prepare for a protracted legal battle.