New World Interactive, the innovative studio responsible for the popular games Insurgency and Insurgency: Sandstorm, has recently faced closure by Embracer Group as part of the company’s self-described “restructuring” process.
The news was initially reported by Second Wind’s Nick Calandra and was subsequently confirmed to Insider Gaming by multiple sources. The announcement was communicated to employees on Monday morning.
Established in 2010, New World Interactive’s groundbreaking game, Insurgency, made its debut in 2014. The studio also released two additional titles – Day of Infamy and Insurgency: Sandstorm — before being acquired by Embracer Group in August 2020.
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As of 2023, the studio had several new games in development though none had been unveiled. Insurgency: Sandstorm, on the other hand, has been averaging nearly 4,000 players per day on Steam over the last three months, even six years after its release.
Up to this point, Embracer Group has yet to respond to inquiries about the closure of New World Interactive or respond to requests from Insider Gaming.
Recently, Embracer Group has also indicated that Free Radical Design was potentially facing closure and has laid off employees at several other studios. In addition, there have been discussions about the potential sale of Borderlands developer Gearbox Entertainment.
What are your thoughts on Embracer Group’s ongoing layoffs and the closure of studios like New World Interactive? Share your opinions in the comments.