CD Projekt Embarks on Restructuring Efforts with Spokko Merger

CD Projekt is set to undergo significant organizational changes, commencing with the integration of its mobile subsidiary Spokko into the prominent Red studio. This restructuring was announced in an FAQ on the Spokko website, following the news that the location-based mobile game The Witcher: Monster Slayer will cease operations in June. As a result of the merger, some Spokko staff will have the opportunity to work on core projects, while others are anticipated to face redundancy. The company has expressed its commitment to supporting affected employees during this transition. The future of the merged entity remains uncertain, with the exact number of staff to be transferred to CD Projekt Red or laid off yet to be disclosed. Spokko was established in 2018 to expand CD Projekt's portfolio with mobile games, starting with The Witcher: Monster Slayer, which initially showed promise with over one million downloads within its first week. However, the game ultimately failed to meet business expectations and will be discontinued on June 30, 2023. The merger of Spokko into CD Projekt Red marks the beginning of the company's 'structural changes' following its recent update to its long-term product strategy. In October, the company announced seven new projects, including a Cyberpunk 2077 sequel, a new Witcher trilogy, and a remake of the original Witcher game. CD Projekt appears to be focusing on single-player RPGs, where it has the most experience. This shift is reflected in other announcements, such as the cessation of support for Gwent and the cancellation of plans for a multiplayer spin-off of Cyberpunk 2077. Instead, the company will concentrate on single-player DLC expansion Phantom Liberty. Although CD Projekt is not abandoning its plans to invest in online multiplayer, it will adopt a more nuanced approach, incorporating online elements into its franchises in a thoughtful and measured manner.