People Can Fly will be laying off “more than 120” employees in the studio’s second round of layoffs this year.

Outriders

Outriders

The developer - which helmed the 2021 online RPG ‘Outriders’ - will be letting go of some of its staff, “suspending” Project Victoria and “scaling down the team” working on Project Bifrost due to “external market pressures”, the company’s CEO Sebastian Wojciechowski has said.

In a statement released on X (formally Twitter), he announced: “We are deeply saddened by the fact that this situation means suspending or parting ways with more that 120 talented Aviators. Colleagues who we enjoyed having as part of our team ... This action became necessary as external market pressures persisted beyond our forecasts.

“The video game market is still evolving, and we have to adjust with where things are today. We are doubling our efforts with new work for hire engagements and focusing on the development of a single independent game.

“We believe in our teams, games and their potential, and we remain extremely committed to continuing that journey, but we need to tailor our plans to our financial capacity.

“We are deeply grateful for the contributions of every team member impacted by this turn of events; their talent and dedication have helped shape our company and our games. These changes are deeply felt by all.”

People Can Fly first laid off over 30 developers in January, and cancelled its action-adventure title Project Dagger - which was due to be co-developed and published with ‘Grand Theft Auto’ publisher Take-Two Interactive before the studio pulled out - three months later.