Just Cause developer Avalanche Studios has announced that it will be closing its UK office and reducing staff across others as part of a major restructuring effort. This move comes not long after development on one of Avalanche Studios' big upcoming games, Contraband, was put on hold by publishing partner Microsoft.
Originally revealed at the Xbox Games Showcase in summer 2021, Contraband was a collaborative effort between Avalanche Studios and Xbox Game Studios Publishing. However, Avalanche went radio silent after the game's initial announcement, showing no new screenshots or footage for over four years. Unfortunately, Avalanche was caught in July 2025's sweeping Xbox layoffs, with Contraband's development being halted indefinitely and the project's future placed under review.
The official statement disclosing Contraband's development pause did mention a future update that would clarify whether Avalanche will proceed with the game, and it now appears that won't be happening. In a statement posted on Avalanche's official website, the company has revealed a new restructuring plan that impacts all three of its studios. Bearing the largest brunt here is Avalanche's Liverpool studio in the UK, which will be shuttered entirely. Avalanche opened the Liverpool studio in 2020, and in just five years,...