Spanish studio Aheartfulofgames has accused guardian firm Outright Games of mismanagement over its determination to shutter the studio and make all 28 staff redundant.
In a press launch despatched to Sport Developer in tandem with native union CSVI, the event crew stated Outright intends to shutter Aheartfulofgames round three years after it acquired the studio and pledged to help and develop its crew.
“Outright acquired our studio in November 2022, integrating us into their inner construction and assuming duty for venture choice and allocation, with the acknowledged purpose of supporting the expansion of each the corporate and its productions,” explains the discharge. “From that time on, the studio’s administration and the working circumstances of its staff have been introduced beneath the direct management of the group.
“Following our acquisition, and after two years of continued growth adapting to tight time and useful resource constraints, the Aheartfulofgames crew delivered Teenage Mutant Ninja Turtles: Mutants Unleashed. The venture was accomplished on schedule and with out manufacturing points. After launching in October 2024, the sport met the business expectations set by Outright.”
Following the discharge of Teenage Mutant Ninja Turtles, nevertheless, the crew claims they have been primarily put out to pasture by their guardian firm. They allege that Outright, which is backed by UK-based personal fairness agency EMK Capital, uncared for to supply work to the studio to justify an impending closure.
They are saying the studio was shortly ostracised after Outright appointed Robin Flodin as its new CEO in October 2024—a transfer they declare “marked a turning level in firm administration, resulting in a shift in strategic priorities that, from our perspective, signalled a constant lack of curiosity and minimal engagement from Outright relating to its obligations to our studio.”
“It turned more and more clear to groups throughout the group that the brand new management was prioritising low-cost, fast-turnaround initiatives, a method which tends to result in decrease high quality outputs and a deterioration in working circumstances,” they add.
Aheartfulofgames claims it repeatedly tried to spin up initiatives over the previous 12 months, however that Outright quashed these plans with out clarification—even when pitches have been “positively acquired” by potential licensors. As well as, the crew alleges that Outright prevented them from helping the corporate’s different inner studios with their initiatives, with the agency as a substitute selecting to outsource that work.
“We acquired requests from Outright UK to help a venture being developed by their inner crew. Regardless of reportedly having outsourcing contractors concerned, the venture appeared to be falling brief of expectations. To our data, this inner crew stays energetic and absolutely staffed,” continues the assertion.
“Over the course of these months, the frequency and scope of inner communications from Outright to Aheartfulofgames progressively diminished, culminating in Could 2025, when our studio was explicitly excluded from a company group assembly.”
“They thought they have been going to reap much more than they are reaping now”
Aheartfulofgames says Outright justified the closure on the grounds of “productive causes,” however reiterates its declare that it was actively prevented from taking over new initiatives.a It provides that Outright continues to provide titles at a gentle tempo, however has as a substitute turned to working with outsourcing studios equivalent to Informal Brothers, Ardmand Games, 3DClouds, and PHL Collective as a substitute of offering its inner groups with work.
“Outright selected to outsource growth of these initiatives to 3rd events whereas our crew remained obtainable, working and receiving salaries, a choice for which no financial rationale has been offered,” it provides.
“Our operational capability would have allowed us to tackle one of these initiatives in parallel with our ongoing work, thereby making higher use of sources whereas persevering with to develop strategic and artistic proposals geared toward securing extra bold alternatives for Outright. Though we acquired, and proactively submitted a number of preliminary licence pitches, as talked about above, none have been formalised by Outright.”
Chatting with Sport Developer in regards to the state of affairs, three present Aheartfulofgames staff—who selected to stay nameless for concern of reprisal—clarify Outright’s acquisition of the studio initially appeared like a blessing. They are saying the corporate instantly pledged to develop the dev crew—and shortly made good on that promise—whereas additionally outlining a plan to have Aheartfulofgames progressively work on larger and extra expansive licensed titles.
One supply explains the deal appeared to supply the crew with “security and stability” within the wake of the pandemic, and admits there was loads of optimism following the transfer.
“They got here to us with guarantees, not solely of larger and higher licenses, but additionally progress inside the firm. They made us consider that they had a plan,” provides one other supply. “They gave our managers some sense of calm after three years of very troublesome occasions—you already know, after spending years attempting to shut offers through the pandemic.”
On paper, then, the deal was easy: Outright would preserve the work flowing in Aheartfulofgames’ route, and the Spanish studio would proceed to provide licensed titles that might allow its guardian firm to bolster its fame and footprint. The truth, it appears, did not ship on that promise.
Following the appointment of Flodin as CEO final yr, one supply explains the state of affairs turned more and more “unstable” with pitches being turned down with out motive. The sense, in keeping with these we spoke with, is that Outright needed to maneuver in a brand new strategic route in the direction of cheaper initiatives and licenses. “That is not what they promised to us,” says one supply. “So all of a sudden we turned a legal responsibility.”
They are saying the choice to shutter Aheartfulofgames was verbally communicated throughout an inner assembly in July. On the time of writing, the studio is slated to be shuttered in mid-August.
Workers are now combating for his or her livelihoods. All three sources clarify they’ve been in negotiations with Outright in a bid to search out another route ahead. They are saying they’ve tabled a quantity of proposals together with a relocation plan and partial layoffs, all of which have been rejected by Outright. They declare their guardian firm is not inquisitive about negotiating about something aside from the serverance packages that can in the end end in 28 individuals losing their jobs.
“It seems like they’ve their thoughts set on closing us at any price,” says one supply. “They inform us we are simply not aggressive sufficient, however we have been being tremendous aggressive after we completed Teenage Mutant Ninja Turtles—and all of a sudden, the second we stopped engaged on that venture, we turned uncompetitive,” they proceed. “We could not be afforded one other venture. Not small initiatives or massive initiatives. Out of the blue no venture matches our [studio] measurement.”
One supply says it feels as if the choice to shutter Aheartfulofgames was made by taking a look at numbers on an Excel sheet in a bid to determine the right way to make much more cash for administration and buyers.
“Ultimately, to them, it is nearly cash. About getting extra revenue. I feel it is dangerous for the business on the whole and our artistic world that that is taking place all around the world,” they add.
“Emotionally, it has taken an enormous toll. We now have a very good crew. We have been working in actually good circumstances. Our studio managers have been all the time attempting to be honest […] and it is actually unhappy to lose one thing that was working properly. Particularly as a result of we have been attempting to make video games that weren’t nearly creating wealth, but additionally about doing artistic issues and giving individuals within the crew the flexibility to participate in artistic selections. For all of us it has been laborious to lose that.”
Ultimately, one supply explains the closure seems to be a cynical determination made to appease buyers who maybe anticipated to prosper extra off the again of a perceived sport business gold rush.
“They thought they have been going to reap much more than they are reaping now,” they are saying. “And so they have made it clear this is not an financial determination, however the financial context offers them a proof for what they are doing—however they are not losing cash, they’re gaining much less.”
Sport Developer has reached out to Outright Games for remark.
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