Crystal Dynamics, the studio behind the Tomb Raider series, has announced job reductions that it deems essential for its long-term viability. The layoffs will impact 17 employees, though the company assures that this decision will not impact its ongoing projects, including the upcoming Tomb Raider installment. In addition to continuing the popular franchise, Crystal Dynamics is also collaborating on the Perfect Dark reboot for Xbox.
Crystal Dynamics Reveals Workforce Reduction
On Thursday, the studio issued a statement addressing the workforce cuts: “This morning, Crystal Dynamics made the difficult decision to reduce our workforce by 17 talented team members. This was not a decision taken lightly. Ultimately, this step was necessary to better align our current business needs with the studio’s future success. It is important to note that this is not a reflection of the dedication or skill of those affected.”
To assist those impacted by the layoffs, Crystal Dynamics will provide transition packages and outreach opportunities. “Crystal Dynamics remains committed to pushing the boundaries of making great games. This change does not alter our current project plans,” the statement added.
This morning, Crystal Dynamics made the difficult decision to reduce our workforce by 17 talented team members. We did not make this decision lightly. Ultimately, this step was necessary to better align our current (cont) https://t.co/wKWtl5Be8S pic.twitter.com/q482GyteoJ
— Crystal Dynamics (@CrystalDynamics) March 26, 2025
The layoffs at Crystal Dynamics are part of a broader trend in the gaming industry, which has seen numerous job cuts in recent months. Warner Bros. has recently announced the closure of three of its studios and the cancellation of a major AAA title. Other companies, including NetEase, Striking Distance Studios, Crytek, and BioWare, have also experienced workforce reductions this year.
Currently, Crystal Dynamics is developing the next installment of Tomb Raider, which will be published by Amazon Games. Previously, Amazon’s vice president Christoph Hartmann mentioned that the studio had managed to remain relatively insulated from the upheaval affecting its parent company, Embracer Group. Following Embracer’s acquisition of Crystal Dynamics from Square Enix in 2022, the Swedish conglomerate faced considerable financial challenges owing to a failed $2 billion investment arrangement with Saudi Arabia’s Savvy Games Group, leading to significant layoffs, project cancellations, and studio closures.
While Embracer has divested from several studios and IPs, it retained Crystal Dynamics along with the Tomb Raider franchise.
No specific details about the new Tomb Raider game have been released, but it is confirmed to be in the early stages of development. The forthcoming title will be a single-player, narrative-driven adventure that continues the journey of the iconic character Lara Croft.