Sharkmob Announces Restructuring Efforts, Citing Industry Challenges

Sharkmob, a studio owned by Tencent, has confirmed plans to reduce its workforce at its Malmo studio, currently developing the sci-fi extraction shooter Exoborne. This announcement comes after the London studio was effectively shuttered in 2024 due to the cancellation of an unannounced project, resulting in staff redundancies. In a statement, Sharkmob attributed the restructuring to the current challenging environment for game developers, describing the changes as necessary to refocus efforts on Exoborne and position the company for long-term growth. Exoborne, the studio's second title, recently completed its second public playtest in October but does not have a release date set. The company has not disclosed further details due to ongoing employee consultations, as required by Swedish employment law. This move follows recent layoffs at Tencent's Funcom studio after the successful launch of Dune: Awakening and the closure of The Outsiders, the studio behind Metal: Hellsinger. In a previous statement, Tencent VP Yong-yi Zhu mentioned that while there are no plans to withdraw from the Western market, the company may reduce investments in certain areas due to industry realities. The announcement is part of a broader trend of cutbacks in the gaming industry, including recent studio closures by Chinese publisher NetEase.