The studio behind Life is Strange, Jusant, and Lost Records: Bloom & Rage is desperately struggling to stay afloat
Don't Nod has begun "safeguard proceedings" to protect itself from creditors and says up to 85 employees are at risk of being let go under its new restructuring plan.
Don t Nod, the studio behind the Life is Strange series, Jusant, Banishers: Ghosts of New Eden, Lost Records, and Aphelion, is currently in financial turmoil. In January 2027, the studio only expects to have enough cash to survive, which led them to initiate safeguard proceedings to buy time while they address their financial difficulties.
The studio laid off up to 90 employees in September 2025, projecting that up to 85 more could be laid off due to a refocusing of French operations around a single production line. Despite strong reviews for Jusant and Banishers: Ghosts of New Eden, their sales were significantly lower than expected, impacting the half-year performance.
Aphelion, the studio's latest release, also fell short of expectations. Don t Nod CEO and Chairman Oskar Guilbert attributes the studio's struggles to the highly selective access to financing in the current video game industry.
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