MercurySteam “initiates a workforce adjustment process”

Spanish developer MercurySteam has announced a workforce adjustment process, marking a difficult moment for the studio founded in 2002. The company, known for collaborations with notable creative figures including American McGee and Clive Barker, as well as significant work on Konami’s Castlevania series, attributed the job cuts to the natural cycles of the gaming industry’s production schedules.

In a statement posted to LinkedIn, MercurySteam described the decision as “difficult and painful” but characterized it as necessary given how workforce adjustments are common within the industry’s production cycles. The studio released Blades of Fire in 2025, its most recent project before the announcement. The company framed the layoffs not as an emergency measure but rather as a standard practice within game development, acknowledging that such adjustments are typical during industry production transitions.

The announcement reflects the ongoing trend of studio layoffs that has continued to affect the gaming industry. While MercurySteam presented the adjustment as routine industry practice, the layoffs underscore broader economic pressures and changing production demands across the sector.

Sources