Hello Neighbor publisher tinyBuild is the next company to be hit with layoffs. According to new reports, the publisher has let go anywhere from 10%-30% of employees, primarily at its studios located in Serbia.
The layoffs were first reported via the “Gamedev We Deserve” telegram. The publisher has seemingly confirmed layoffs in a trading update on Tuesday when it revealed it was performing “below expectations in Q4”, blaming it on “unusually weak trading in October”.
Employees who were let go were done so without warning, and it was done via a one-on-one call with management. TinyBuild has yet to confirm the exact amount of layoffs or their locations, however.
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“Since the publication of the Company’s interim results in September 2023, the market has deteriorated further and negotiations of certain large contracts have extended into the final month of the year,” the studio said.
Because of the lower performance, tinyBuild adjusted its financial revenue forecast to somewhere between $40-$50 million. Subsidiary Versus Evil has also seen three of its four games in development delayed into 2024.
The company says it’s enacting “accelerated cost action to re-align investments with expected revenues.”
As far as the future of the company, tinyBuild says its outlook for next year “remains cautious”.
“The company expects continued pressure on discounting in a crowded market for new releases,” they said.
Insider Gaming has reached out for clarification on the layoffs and just how much of the company has been impacted.
