1047 Games announced that it will cease active development on its two flagship titles, Empulse and Splitgate: Arena Reloaded, and will move both experiences to a peer‑to‑peer (P2P) networking model as of September 3. The decision marks a clear pivot for the studio after a decade spent focusing on live‑service first‑person shooters. In a brief statement posted to X earlier today, the developers explained that the revenue generated by the two games no longer covers the expenses associated with maintaining dedicated server infrastructure.
While the company had previously subsidised those costs in an effort to give each title a chance to grow its player base, it ultimately concluded that continuing to fund the servers was "no longer sustainable." "We have loved working on these games, playing them, and building them with this community, and we wish we could continue supporting them," the studio wrote, underscoring the disappointment it feels at having to scale back support. Effective September 3, the dedicated servers and the associated matchmaking services for Empulse and Splitgate: Arena Reloaded will be decommissioned. Players will instead rely on a P2P system that includes a server browser, allowing individuals to host their own matches and locate others who are doing the same. To give the community a proper send‑off, Empulse will receive one final map addition and a price reduction across all regions in what the studio has labelled the "final update" for the game.
This transition mirrors the path taken with the original Splitgate, which also shifted to a P2P architecture last year after its dedicated servers were shut down. That change kept the game playable on PC and consoles, and it continues to enjoy a modest, though dedicated, player community.
The background to these moves is worth noting. Splitgate 2 launched in June 2025 amid a wave of controversy, including the release of a politically charged "Make FPS Great Again" hat and a high‑priced $145 cosmetic bundle. Within weeks of launch, 1047 Games announced a round of layoffs, the size of which was not disclosed.
A month later the studio pushed the title back into a beta state and initiated a second wave of staff reductions, signalling significant internal turmoil. Empulse, billed as a 6‑vs‑6 movement‑focused shooter and often described as a spiritual successor to Titanfall, entered early access in June 2026. Its launch was quickly followed by several rounds of layoffs, reflecting the same financial pressures that plagued Splitgate 2.
The rapid succession of staff cuts suggests that the studio’s revenue streams from these live‑service projects were insufficient to sustain the operational overhead of dedicated server farms and ongoing content creation. Co‑founders Ian Proulx and Nicholas Bagamian used the announcement to articulate 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 current staffing levels, but it is clear that the company has already undergone multiple layoff cycles, the most recent occurring in July, shortly after Empulse’s early‑access debut. Whether the September transition will trigger additional reductions remains uncertain. From an industry perspective, 1047 Games’ move away from dedicated server hosting reflects a growing recognition that the live‑service shooter model can be financially precarious, especially for mid‑size studios without the deep pockets of larger publishers.
Maintaining always‑online infrastructure requires continuous investment in server hardware, bandwidth, anti‑cheat systems, and regular content updates to keep players engaged. When player counts plateau or decline, the cost‑to‑revenue ratio can quickly become untenable.
By shifting to a P2P model, the studio reduces its operational expenditures dramatically. Players' own machines act as hosts, and matchmaking is handled through a simple browser rather than a centralized queue. While this approach can introduce challenges—such as increased susceptibility to host advantage, variable connection quality, and potential security concerns—it allows the games to remain playable without the overhead of a proprietary server network. The final update for Empulse, which includes a new map and a universal price cut, serves both as a goodwill gesture to the existing community and as a way to potentially boost sales before the server shutdown.
A reduced price point may attract late adopters who were previously hesitant, thereby generating a modest influx of revenue that can offset the costs of the transition period. Overall, 1047 Games appears to be entering a period of reflection and recalibration. After a decade of building and supporting live‑service shooters, the company is openly acknowledging that its previous formula is no longer viable under current market conditions. The founders emphasize that their passion for game development endures, even if the genres and delivery methods they pursue in the future may differ significantly from Empulse and Splitgate.
As the industry continues to evolve, it will be interesting to see what direction the studio takes next and whether it can leverage its experience to create a new kind of gaming experience that balances creative ambition with sustainable economics.