Crystal Dynamics announces fourth round of layoffs in 12 months

Crystal Dynamics, the studio behind Tomb Raider, has laid off 20 team members in its fourth round of job cuts within a year. The studio stated the changes align team structures with project phases, while reaffirming commitment to ongoing Tomb Raider titles. Development on Tomb Raider: Catalyst and the Legacy of Atlantis remake continues uninterrupted.

Crystal Dynamics shared news of the layoffs on LinkedIn last night. The move affects 20 staff members across development and central operations roles. This marks the fourth round of layoffs at the studio in 12 months, following cuts in November, August, and March of the previous year. The studio described it as a difficult decision, especially after last year's restructuring. A statement read: 'This is a difficult day for our studio, and we never make these decisions lightly, particularly after the restructuring we underwent last year.' It explained that as current projects advance, the team structure must align with long-term goals. While efforts were made to reassign staff, some departures became necessary. Crystal Dynamics addressed concerns about future Tomb Raider games, stating it remains 'fully committed' to announced titles, including the new Tomb Raider: Catalyst and the remake titled Legacy of Atlantis. The studio emphasized supporting departing colleagues as its immediate priority. Tomb Raider: Catalyst is slated for release next year on PlayStation 5, Xbox Series X/S, and Steam. It features Lara Croft in Northern India amid a mythical cataclysm unleashing ancient secrets. Prior to that, Tomb Raider: Legacy of Atlantis revisits the original game's story, with Lara traveling countries in pursuit of the Scion of Atlantis.

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Realistic illustration of empty desks and packed boxes at Full Circle's Skate studio in Burnaby, symbolizing layoffs during restructuring.
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Full Circle announces layoffs in Skate studio restructuring

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EA subsidiary Full Circle, developer of the live-service Skate game, announced layoffs on February 25, 2026, as part of a restructuring at its Burnaby headquarters to support the title's long-term development. The cuts affect an unspecified number of staff who contributed to its Early Access launch last September, amid ongoing industry-wide reductions.

Crystal Dynamics is teasing a major announcement related to Tomb Raider for March 12, 2026. The reveal features a clip from the South Pacific level in Tomb Raider 3, showing Lara Croft in a previously unseen costume. While fans anticipate improvements to the Tomb Raider I-III Remastered collection, the update falls short of expectations for a Legend trilogy remaster.

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Insider Gaming reports that Crystal Dynamics, known for the Tomb Raider series, is the main developer on at least one Lord of the Rings project for Embracer Group. This comes shortly after rumours emerged about Warhorse Studios also pursuing a Middle-earth title. Both studios and Embracer have declined to comment on the speculation.

Amazon Game Studios has terminated its publishing agreement with Maverick Games for an upcoming narrative-led racing game. The decision aligns with Amazon's shift away from triple-A titles toward projects like Luna and Tomb Raider. Maverick Games, founded by former Forza Horizon developers, is seeking a new publisher while continuing development.

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Amazon Game Studios laid off thousands last October and canceled Project Trident along with its Lord of the Rings MMO after developers scrambled to incorporate generative AI.

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