Meta Shuts Down Multiple Game Studios, Leading to Layoffs

January 13, 2026 - 23:32

In a significant shift within its gaming division, Meta has announced the closure of several studios, including Twisted Pixel, known for the popular title 'Splosion Man', and Sanzaru Games, recognized for 'Asgard's Wrath'. This decision has prompted numerous developers to report layoffs, raising concerns about job security within the industry.

The closures come as part of Meta's broader strategy to streamline operations and focus on its core business areas. Many employees expressed their shock and disappointment, having dedicated years to their projects and the company. The layoffs not only affect those directly involved in game development but also impact support staff and other roles within the affected studios.

As the gaming landscape continues to evolve, the closures highlight the challenges faced by companies in adapting to market demands. The loss of these studios marks a significant change in Meta's gaming ambitions, leaving many to wonder about the future of its gaming portfolio and the potential ripple effects on the industry as a whole.