Devolver Digital reduces workforce by 40% at subsidiary studio Nerial

Devolver Digital has trimmed its team at the subsidiary studio Nerial by 40%. This reduction follows the company's earlier decision to cut the workforce at its Polish studio, Artificer, and at Good Shepherd / Big Fan by over half throughout the preceding year.

In its latest investor update, Devolver reported achieving a "strong" financial performance and a "return to profit and growth." The company has reoriented three smaller subsidiaries, which involved decreasing team sizes by roughly 50%, to sharpen their focus. These strategic adjustments have led to a downsizing of its global workforce from 303 to approximately 270 employees.

Regarding Nerial, Devolver stated, "The team underwent a restructuring to tackle issues with recent releases and to better prepare for future launches, resulting in a 40% reduction in staff." Additionally, Artificer's workforce was halved in early 2024 following a newly instituted project approval process that aligns with current market conditions and gaming trends. Similarly, Good Shepherd / Big Fan also saw their team cut by more than 50% during 2024.

This period has been challenging across the broader industry, with 1600 developers losing jobs in the first quarter of 2025. Companies such as Freejam, Splash Damage, Piranha Games, Jar of Sparks, Ubisoft, ProbablyMonsters, Iron Galaxy, Sumo Group, Liquid Sword, NetEase Games, Toast Interactive, Night School Studio, Striking Distance, Ballistic Moon, Eidos Montréal, PlaySide, and AppLovin have all faced downsizing or closures.