1047 Games announced that it will stop further development on its two flagship titles, Empulse and Splitgate: Arena Reloaded, and will move both games from dedicated server infrastructure to a peer‑to‑peer (P2P) model as of September 3. The decision marks a clear pivot for the studio, which has spent the past decade concentrating on live‑service first‑person shooters. In a brief statement posted to X earlier today, the company explained that the revenue generated by the two games no longer covers the ongoing expenses of maintaining dedicated servers. While the studio had continued to subsidize those costs in hopes that the titles would eventually become self‑sustaining, it now acknowledges that this approach has become financially untenable.

"We have loved working on these games, playing them, and building them with this community, and we wish we could continue supporting them," the developers wrote. "Unfortunately, the economics no longer work for us." Effective September 3, the dedicated server back‑ends and official matchmaking services for Empulse and Splitgate: Arena Reloaded will be shut down. Players will instead rely on a server‑browser system that connects them directly to each other’s machines using a peer‑to‑peer networking model. This change will allow the games to remain playable, albeit without the centralized matchmaking and anti‑cheat protections that dedicated servers provide.

As a parting gesture, Empulse will receive one last map addition and a price reduction across all regions, which the studio has dubbed the "final update" for the title. The shift to P2P is not unprecedented for 1047 Games. The original Splitgate made a similar transition last year after its dedicated servers were retired, and the game continues to be accessible on PC and consoles via peer‑to‑peer connections. That earlier move demonstrated that the studio can keep a title alive without the costly infrastructure of dedicated hosting, albeit with a trade‑off in terms of matchmaking quality and cheat mitigation.

Splitgate 2, released in June 2025, quickly became a lightning rod for controversy. The launch featured a "Make FPS Great Again" hat reminiscent of political slogans and a high‑priced cosmetic bundle priced at $145. Within weeks, the company announced a round of layoffs, the exact number of affected employees was not disclosed. Shortly thereafter, the title was rolled back to a beta state and a second wave of staff reductions followed.

The turbulent rollout highlighted the challenges of sustaining a live‑service model when community sentiment turns sour and revenue streams falter. Empulse, marketed as a 6‑v‑6 movement shooter and spiritual successor to Titanfall, entered early access in June 2026. The game’s launch was accompanied by several rounds of layoffs within a matter of weeks, reflecting the studio’s ongoing struggle to balance development costs with a relatively modest player base. Despite the hype surrounding its fast‑paced parkour mechanics and vertical combat, Empulse failed to achieve the financial thresholds needed to justify the continued operation of dedicated servers.

Co‑founders Ian Proulx and Nicholas Bagamian used the announcement to signal a broader strategic shift. "We started 1047 Games ten years ago because we love video games," they said.

"Since then, more than 25 million people have played our games, and many of the people we've met along the way have become lifelong friends. After ten years of focusing on live‑service shooters, our focus is changing. What we build next may look very different from what people expect from 1047 Games, but what has not changed is why we are here: we love making games.

We have learned a lot over the years, and we will carry those lessons into what we build next." The statement did not provide specifics about the current staffing situation, though the company has already undergone multiple layoff cycles, the most recent occurring in July 2026, just weeks after Empulse’s launch. It remains uncertain whether the latest announcement will trigger additional reductions or if the studio will stabilize its workforce as it re‑examines its development priorities. Industry observers note that the move away from live‑service shooters could be a pragmatic response to a saturated market.

Over the past decade, numerous studios have chased the lucrative but volatile live‑service model, only to encounter diminishing returns as player fatigue sets in and the cost of server maintenance climbs. By transitioning to peer‑to‑peer architecture, 1047 Games can dramatically lower its operational expenses, freeing up resources for new projects that may not rely on continuous online services. For the player community, the transition means a mixed bag.

Fans of Empulse and Splitgate: Arena Reloaded will still be able to enjoy the core gameplay, but they should expect longer matchmaking times, potential connectivity issues, and a higher susceptibility to cheating, as the centralized anti‑cheat systems tied to dedicated servers will be discontinued. The final map addition for Empulse and the price cut are intended as goodwill gestures, offering a small token of appreciation for the community’s loyalty.

Looking ahead, 1047 Games has hinted that its next venture could diverge significantly from the live‑service shooter formula. While no concrete details have been released, the founders’ emphasis on “what we build next may look very different” suggests the studio might explore single‑player experiences, narrative‑driven titles, or perhaps genres that require less ongoing server support. Such a pivot could allow the company to leverage its expertise in fast‑paced action while mitigating the financial risks associated with maintaining large‑scale online infrastructures.

In summary, 1047 Games is winding down active development on Empulse and Splitgate: Arena Reloaded, shifting both games to peer‑to‑peer hosting as of September 3, and providing a final content update and price reduction for Empulse. The move reflects a broader strategic realignment away from the costly live‑service shooter model that defined the studio for ten years. While the exact impact on staffing remains unclear, the company’s leadership has signaled a willingness to apply the lessons learned over the past decade to future projects that may depart from the expectations set by their previous titles.