Embracer Group closes studios after failed 2 billion deal
Software

Embracer Group closes studios after failed $2 billion deal

The large-scale restructuring of Swedish holding company Embracer Group, which began as a result of a last-minute botched $2 billion deal, has already resulted in the closure of one of the studios controlled by the company.

    Image Credit: Campfire Cabal

Image Credit: Campfire Cabal

We’re talking about Danish studio Campfire Cabal, founded last fall by THQ Nordic (also owned by Embracer Group) and made up of industry veterans with experience working on Expeditions: Rome, Hunt: Showdown, and Hitman.

Over the time that has passed since the opening, the team managed not to release anything, but to develop a story-based role-playing game for PC. Apparently the project will not survive to release as Embracer has decided to disband Campfire Cabal.

    Concept art from the Campfire Cabal website

Concept art from the Campfire Cabal website

From Words Campfire Cabal Bruno-Christian Belibou executive producer, Embracer set the fate of the Embracer studio in June – the reorganization was announced the same month.

All Campfire Cabal employees were fired. Belibu said that the team’s leadership “We tried a lot to find a new home for this team, but time was our biggest enemy.”.

    Another illustration from the Campfire Cabal website

Another illustration from the Campfire Cabal website

Embracer’s restructuring, announced in June, aims to reduce costs, allocate capital, improve efficiency and consolidate. In addition to studio closures, the initiative will also entail cutbacks and game cancellations.

For the past several years, Embracer Group has seemed to do nothing but buy up game studios, but in May the holding lost a particularly large deal (we’re talking about $2 billion) that could become a mainstay “a new benchmark for the gaming industry”.

About the author

Robbie Elmers

Robbie Elmers is a staff writer for Tech News Space, covering software, applications and services.

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