11 Bit Studios S.A., the Polish indie game studio behind on-screen adventures like The Alters and Frostpunk, announced it will lay off 20 team members as it restructures. The studio issued a statement to Game Developer confirming the cuts and explaining that downsizing is necessary to “align [its] team structures with current project phases.”
“We have been able to ensure internal transfers for the majority of our employees so they can continue their careers within the company, and are committed to ensuring that employees leaving the company receive the right support throughout this process,” an 11 Bit representative told Game Developer.
11 Bit said that, despite recent success, the company has faced some challenges. Among those challenges, the cancellation of Project 8 in 2024 and subsequent workplace redundancies. However, the studio told Game Developer that its current financial situation is “stable.”
“We need to adjust new project teams to current needs, manage our expenses carefully and maintain cost discipline […] Regarding the transfers and numbers, we managed to ensure internal transfers for most of our employees so they could continue their careers within the company. However, for the roles that, unfortunately, could not be carried over into new projects at their early stages, we had to make the difficult decision to part ways with around 20 employees.”
The Warsaw-based studio’s announcement comes amid its launch of The Alters DLC, “The Last Variable,” and just one week after the studio revealed that more than 1 million players have hopped into Frostpunk 2. Other prominent projects from the Polish studio include striking third-person puzzle INDIKA and tactical turn-based deckbuilder Death Howl, released in May 2024 and December 2025, respectively.
Despite ongoing internal turmoil, 11 Bit Studios revealed in Wednesday morning social media posts that it will “be running exclusive, paid, closed-focus tests for a secret project” in early August at the company’s Warsaw office. Be among the first to try it and help us shape it.”
This is a developing story. Stay tuned to Outrun Gaming for more information as it becomes available.
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