It almost appears as if gaming companies are borrowing from the same playbook. At least that is the way it appears to us following the renewed wave of layoffs. This time it is an unknown number that has been shed from Night School, the developer behind Oxenfree, Afterparty, and Next Stop Nowhere.
According to reports, “multiple workers” have been let go. This was corroborated by current and former employees who spoke with Game Developer on the condition of anonymity. The layoff won’t affect the studio’s current projects.
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Netflix acquired Night School in 2021 to bolster its foray into game development. The streaming giant has in the last five years acquired Spry Fox, Boss Fight, and Next Games too. However, it doesn’t seem as though the streaming giant has a clear path to long-term profitability of its gaming division.
The employees who commented on the matter said the layoff came as a shock to them when it was announced in January. At the time of writing, Netflix has yet to comment on the development at Night School.
GameBaba Universe sighted a post from senior producer Stephanie Bedford who posted on LinkedIn saying, “Unfortunately I am joining a whole host of talented individuals seeking their next role in this job market. Being out of work at this time in games is super scary and if you hear of any opportunities or just want to catch up, please send me a message or comment below.”
Netflix is reorganizing its gaming division—perhaps to achieve better profitability. Last year it shut down Team Blue which was supposed to be in charge of its triple-A game development. They went on to hire Alain Tascan, former Epic Games EVP of development to lead the gaming division.
Following Tascan’s appointment, former Netflix Games boss Mike Verdu moved to become the new VP of GenAI. Verdu said the company would leverage generative AI tools to create “mind-blowing new experiences for players”.
Indie games used to be the focus of the Netflix game library. However, when GTA Trilogy Definitive Edition was released, it outperformed all other games on the platform based on downloads. Since then, the streaming giant has changed its strategy to chasing licenses of established IPs.
All eyes will be on what happens to the other studios under the streaming giant’s umbrella. By the way, do you think Netflix will ever compete favorably in the gaming space? Share your thoughts in the comment box below.
