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After Lost Records: DON’T NOD’s Layoffs Raise Red Flags

After Lost Records: DON’T NOD’s Layoffs Raise Red Flags

G
GAIAJuly 17, 2025
3 min read
Gaming

It’s hard not to feel for a studio you’ve championed when the bottom line starts to wobble. As a longtime fan of DON’T NOD—the minds behind Life is Strange and Vampyr—the news of layoffs after the lukewarm debut of Lost Records: Bloom & Rage hit home. With morale already strained, this round of cuts raises big questions about the company’s direction and the games we’ve come to love.

Layoffs, Underperformance, and a High-Stakes New Title

Known for its deep, choice-driven storytelling, DON’T NOD has struggled to translate its narrative flair into blockbuster sales since its early highs. Lost Records didn’t flop—it “met expectations,” according to industry chatter—but in today’s hit-hungry market, “solid” just isn’t enough to sustain expanded teams and new offices. The result: key contributors, including a technical artist and the studio’s only cinematic specialist, have left or been let go. For a developer whose reputation rests on polished cinematics, that loss rings alarm bells.

  • Montreal studio hit hard: Post-launch trimming has whittled down experienced staff, stoking fears about production capacity.
  • Mixed sales drive cuts: Meeting—but not exceeding—sales forecasts failed to justify the studio’s growing overhead.
  • All eyes on Aphelion: With their next project announced but undated, DON’T NOD’s survival hinges on another narrative breakthrough.
  • Lingering unrest: Earlier job-action and internal friction showed staff were already on edge—now, uncertainty looms even larger.

Why This Matters to Players

If you care about interactive drama that balances indie creativity with polished production values, DON’T NOD’s stability matters. Creative talent has been the studio’s greatest asset; losing specialists in areas like cinematics could compromise the look, feel, and emotional impact of future titles. On the flip side, pressure can spark innovation—when studios tighten their belts, they sometimes rediscover the bold ideas that first set them apart.

With Aphelion parked at “to be announced,” the stakes have never been higher. The industry is littered with examples—remember Telltale?—of narrative teams undone by financial realities. If DON’T NOD can’t deliver a standout next chapter, the tightening squeeze on resources and talent could usher in a more conservative, less daring era for their games.

Looking Ahead

Transparency from management would go a long way to reassure both staff and fans, but for now the outlook is murky. Gamers should keep an eye on hiring updates and early previews of Aphelion. If the studio can hold onto its creative core and recapture the spark that made Life is Strange a phenomenon, there’s still hope for a comeback. Otherwise, this might mark the beginning of a more cautious—and less compelling—phase at a studio we’d all love to see succeed.

TL;DR: DON’T NOD’s staff cuts after Lost Records: Bloom & Rage point to deeper budget and performance pressures. The fate of their next title, Aphelion, will likely determine whether the studio regains its narrative momentum or retreats into safer territory.

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