Intercept Games is reportedly shutting down as Take-Two enacts their cost-reduction plan and layoffs across the company, with the Kerbal Space Program 2 developer’s continued existence now in doubt. Despite this, Take-Two has pledged to continue providing support and updates for the game’s PC Early Access release.
The news comes from a WARN notice filed in Washington, where the Seattle-based studio resides, giving public notice of a “closure” on 28th June 2024 as part of the requirement to provide impacted workers with at least 60 days notice before they are laid off. Some outgoing employees have posted online that they have been quite plainly “laid off”.
Game Developer asked Take-Two whether this would be a wholesale shutdown of Intercept Games, but while the company would not confirm the studio’s status, it did promise to continue supporting the Early Access release of Kerbal Space Program 2. “The label [Private Division] continues to make updates to Kerbal Space Program 2” they stated, amidst other words around the ongoing layoffs, cost-reductions and other game launches.
Even if Intercept Games does survive – which seems unlikely – its ability to continue developing KSP2 in a serious manner will be significantly hampered by any major layoffs.
Kerbal Space Program 2 was announced back in 2019 with Star Theory Games (formerly Uber Entertainment) at the helm, taking over the franchise from the original developer Squad under Take-Two’s ownership of the IP. Some tumult occurred in 2020 when Take-Two reconsidered a move to acquire Star Theory, instead setting up Intercept Games and hiring a bunch of the team from Star Theory to this new studio. Delays followed, with the game pushed back first to 2022, then 2023, and then eventually resulting in an early access release in February 2023.
While the game currently holds a mixed user review on Steam, it’s very disappointing that Intercept will seemingly no longer have the chance to improve the game and try to surpass the original.
via Game Developer
