Phoenix Labs Undergoes Restructuring with Significant Layoffs

Phoenix Labs, the developer of Fae Farm, has undergone a substantial round of layoffs and reportedly scrapped multiple projects that were in various stages of development. In a LinkedIn post, the studio acknowledged that it has entered a restructuring phase, citing it as a necessary measure to ensure the company's long-term viability. Following an extensive evaluation of the current economic landscape, Phoenix Labs was forced to reorganize and streamline its operations to secure a prosperous future. According to former principal engineer Kris Morness, who was affected by the layoffs, more than 140 employees have lost their jobs. Morness also revealed that the studio was acquired by blockchain platform Forte over a year ago and has since canceled all ongoing projects, including a game that was slated for announcement within a month. Noah Watkins, a former UX lead, expressed disappointment over the canceled game, which the team had been working on for over five years. This latest round of layoffs follows a similar incident in December, which resulted in the loss of 34 jobs across various departments, as well as a 9% reduction in the company's workforce in May of the previous year.