Studio Behind Hyper Light Drifter In Peril After Publisher Withdraws Funding for Unannounced Project

Heart Machine, the studio responsible for Hyper Light Drifter and Possessors, finds itself in a dire situation after a publisher pulled funding for an unannounced project. Founder Alx Preston announced the news on LinkedIn on September 16, 2026. Preston revealed that the publisher had decided to cease funding the unannounced project, leading to the studio's decision to lay off "nearly everyone."

He expressed deep distress over the situation, assuring that all affected individuals would receive comprehensive support, including assistance with job placement. Preston acknowledged the uncertainty surrounding Heart Machine's survival but stated that the existing team remains committed to finding a way forward. In a message to the studio's contributors, community, and fans, Preston expressed gratitude and highlighted the studio's previous successful titles, including the search-action game Possessors, released in November 2025, and the iconic cult classic Hyper Light Drifter.

This development comes on the heels of Double Fine's recent layoff, with Heart Machine now joining the list of studios facing significant employee reductions. Despite these challenging circumstances, Double Fine's founder, Tim Schafer, remains determined to carry on, emphasizing that no entity can bring Double Fine to its knees.

Furthermore, recent layoffs at Build a Rocket Boy have added to the growing concern over the future of Heart Machine, amplifying doubts about the studio's prospects amidst Mindseye's challenging launch last year.