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Gaming

Disco Elysium Studio Cuts 32 Jobs After New Game Fails to Sell

Emily Chen 0 comments 4 min read
Disco Elysium Studio Cuts 32 Jobs After New Game Fails to Sell

ZA/UM, the UK-based developer behind the cult hit Disco Elysium, is laying off up to 32 employees just two months after releasing Zero Parades: For Dead Spies. The studio announced the redundancies on social media, citing weak commercial performance despite critical reception for the May 2026 release.

In a statement posted to X/Twitter, ZA/UM acknowledged that while the new game earned praise from reviewers, the sales numbers couldn't justify maintaining its current workforce size. "We have served redundancy or at-risk notices impacting up to 32 of our colleagues across all departments at ZA/UM Studio," the company said, adding that those departing staff had "made a lasting difference" to the studio's work.

The studio pledged to continue working with its Workers' Alliance union as the process unfolds. ZA/UM also signaled it intends to operate at reduced capacity going forward, stating the layoffs will "change the shape of ZA/UM, but not its purpose." The company encouraged other studios to consider hiring the affected employees.

This marks the second major workforce reduction in as many years. Around 24 employees were cut in 2024, the same period when a planned standalone Disco Elysium expansion was shelved. Zero Parades: For Dead Spies currently holds an 83 on Metacritic, a solid critical score that still fell short of generating the commercial momentum needed to sustain the studio's operations.

ZA/UM has endured a turbulent existence since its breakthrough with Disco Elysium in 2019, which swept multiple categories at The Game Awards and scored a 9.6/10 from IGN. The real trouble started in October 2022 when key creators including writer Robert Kurvitz, writer Helen Hindpere, and art director Aleksander Rostov were reportedly forced out. Kurvitz subsequently sued the company, alleging that Ilmar Kompus and Tõnis Haavel of Tütreke OÜ had seized control through fraudulent means. ZA/UM denied the allegations and countered with its own accusations.

That upheaval spawned a diaspora of talent. Multiple spinoff studios formed by former ZA/UM developers have since announced projects, including Dark Math Games and Longdue Games, which revealed titles XXX Nightshift and Hopetown in October 2024, followed by Summer Eternal's own announcement.

Author Emily Chen: "ZA/UM's inability to replicate Disco Elysium's lightning-in-a-bottle success is a harsh reminder that critical acclaim and cult following don't automatically convert to sustainable revenue streams."

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