Just Cause studio Avalanche lays off 50 people and closes two studios, including one it opened less than a year ago

Avalanche Studios is shutting down its New York and Montreal offices, the latter of which was just opened in October 2023, resulting in redundancies affecting 9% of the whole company's workforce.

"Today, we regretfully announce the closure of two of those locations: New York and Montreal," reads a statement from the studio. "This means we’ll be parting ways with around 50 valued friends and colleagues, which represents roughly nine percent of Avalanchers worldwide."

Not to be confused with the Hogwarts Legacy studio Avalanche Software, Avalanche Studios is best known for the open-world action-adventure series Just Cause as well as the 2015 Mad Max game and 2019's Rage 2. The studio is currently working on the largely elusive co-op game Contraband for Xbox, promising a "co-op smuggler's paradise" and the studio's "most ambitious and spectacular game" yet. It's as yet unclear how the layoffs and closures will impact the game's development.

This resizing is of course just the latest in a barrage of layoffs, studio closures, and game cancelations shaking up the industry following the pandemic boom, including at EA, Sony, Riot, Rockstar, Microsoft, Microsoft again, and many more. The closures at Avalanche are of particular note considering one of the shuttered studio's was opened less than a year ago, but nonetheless the company says "it's necessary to ensure a stable and sustainable future for the company."

"Our focus is now on supporting all Avalanchers through this challenging time," the statement continues. "We’re grateful for the invaluable contributions of those leaving and remain committed to creating incredible gaming experiences for our players."

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