One week after Perfect Dark developer Crystal Dynamics laid off an undisclosed number of staff members, a new report stated that a deal with Take-Two Interactive to salvage the canceled reboot fell through. The failed negotiations between Embracer Group and Take-Two to save Perfect Dark subsequently resulted in the layoffs at Crystal Dynamics after the companies could not agree on the game's ownership rights.
On August 27, Crystal Dynamics conducted its second round of layoffs in 2025. The layoffs were announced over a month after Microsoft closed The Initiative, the studio that brought in Crystal Dynamics to assist with Perfect Dark's troubled development. The shuttering of The Initiative was part of a massive company-wide layoff wave from Microsoft in July, which saw over 9,000 former staff members released across the board. Microsoft stated the layoffs were part of a company-wide restructuring amidst the tumultuous challenges that the gaming and tech industries continue to face.
One week after Crystal Dynamics announced the layoffs, a new report shed some light on the reasons behind the studio's decision. As reported by Jason Schreier of Bloomberg, a potential deal between Embracer, which owns Crystal Dynamics, and Take-Two fell apart. Sources...
