Chicago-based game studio Iron Galaxy has laid off dozens of employees as it adapts to changes in the gaming industry. The announcement follows the release of the Tony Hawk’s Pro Skater 3 + 4 remaster collection. A source indicated the cuts could affect up to 90 staff members.
Iron Galaxy, known for porting games to new platforms, revealed the layoffs in a LinkedIn post on Friday. The studio, established in 2008, has worked on major franchises including Killer Instinct, the Batman: Arkham series, and Borderlands. It also developed Rumbleverse with Epic Games in 2022, a multiplayer wrestling game that shut down within a year, and contributed to the PC version of The Last of Us Part 2 Remastered. PlayStation veteran Adam Boyes left as co-CEO in 2024. The company previously reduced its workforce by 66 people in early 2025, describing it as a last resort for survival. A source told Kotaku the current layoffs could impact up to 90 employees. Iron Galaxy stated on LinkedIn, “Ever since 2020, when everything about making video games started to change... This year, we’re adopting a new posture to accept these current market conditions as permanent.” It added, “Players consume games in new ways. Publishers have different criteria for investing... It’s impossible for us to sustain the team size that we’ve carried this past year, even after our downsizing from last year.” The studio expressed regret, saying, “We are terribly sorry to lose them as we take steps to adapt to the climate of the video game industry. It’s time for us to evolve again.”
