It’s been something of an open secret that Crytek were in financial difficulties. They might have denied the issue, but we saw repeated rumours and a string of news by way of trusted sources saying that Crytek’s employees were not being paid and that some were then either not coming to work or leaving the company as a consequence. Needless to say this was a perilous situation for the company.
Thankfully the company has now opened up about the situation, admitting that they were having problems as they were trying to transition from being a developer to being an online publisher, but that they have now found a new line of funding that has helped to solidify their position.
While they’re not going into specifics or too great detail, they admit that they weren’t properly communicating the issues internally, but this news should mean that they’re now able to lay to rest the reported problems with not being able to pay their employees. While this should stem any loss of staff, we don’t know what kind of knock on effect this period of difficulty will have on the various games they have in development. Hopefully they’re able to get back on track sooner rather than later.
The full statement, provided to GamesIndustry.biz, is as follows:
In recent weeks, there have been repeated reports and rumors relating to financial problems at Crytek. Having already given an update to staff across all our studios, we are now in a position to share more details with members of the press and public.
Internally, we have acknowledged that the flow of information to employees has not been as good as it should have, however we hope you understand that communicating details of our plans publicly has not always been possible.
Like the games industry as a whole, Crytek has been in a transitional phase. Our evolution from a development studio to an Online-Publisher has required us to refocus our strategies. These challenges go along with an increased demand for capital which we have secured.
We can now concentrate on the long term strategic direction of Crytek and our core competencies. We kindly ask for your understanding, that we won’t be communicating further details about our developments and progress.
Ultimately, with our organization, capitalization, portfolio and technologies we have now laid the foundations for securing Crytek’s future – not just in the short term, but also long term.
Through this period of speculation, we are thankful for the support and encouragement we’ve received from our community and our partners, and for the contribution all of our staff have made. We remain committed to doing what we are best known for and trying to develop the best interactive experiences and technology possible for everyone who loves gaming.
We are confident that we will be able to share more positive news on Crytek’s progress soon.