In June, Netflix released an officially licensed FIFA World Cup game, and while it was not a critical success, Netflix management later singled it out as a successful release. Now, however, the studio behind the game, Refactor Games, has enacted a round of mass layoffs affecting the majority of the studio.
Cofounder Nathan Burba told GamesBeat that the studio has laid off 85% off its staff. This amounted to about 80 people, according to Insider Gaming. The studio’s co-owner, Delphi Interactive, was said to have pulled funding after the launch of the game in June.
Affected developers were reportedly notified on Friday, July 31. The laid-off developers reportedly received no severance pay, though the last day was a payday.
The Netflix FIFA game, which is called FIFA World Cup Launch Edition, allows people to play on their TV or computer with up to four people. The game features all 48 teams, 1,238 players, and 16 stadiums from the tournament.
The game received poor review scores, with VGC saying it’s a “woefully undercooked companion” to the World Cup.
During Netflix’s latest earnings call, management said FIFA World Cup Launch Edition and the horror game Unhinged were two of company’s “most successful” launches ever for cloud games on TV. Netflix did not share any specific datapoints that speak to their success, however.
Despite some initial stumbles, Netflix remains interested and invested in the gaming space for the long term, seeing it as a major growth-driver. Recently, Netflix reported that some of its gaming efforts have grown by 600%, while also informing investors that it’s still early days.