Splitgate 2 Developer 1047 Games Suffers Layoffs Amid Rocky Launch

Co-founders suspend salaries as studio pivots to “deliver the next phase” of the game

1047 Games, the developer behind the recently released Splitgate 2, has announced a round of layoffs as part of a strategic realignment just weeks after the game’s launch on June 6, 2025. While the exact number of employees affected remains undisclosed, at least six former staff members have publicly confirmed their departure and are now seeking new opportunities.

In a statement released by the studio, 1047 Games explained the layoffs as a difficult but necessary step in its mission to reallocate resources more effectively. “This decision wasn’t taken lightly,” the statement read. “We’re redirecting resources to build the best game possible for our players.”

To demonstrate their commitment to the game’s future, 1047 Games co-founders Ian Proulx and Nicholas Bagamian have voluntarily suspended their salaries. “As we lock in to deliver the next phase of the project, we want to ensure every possible dollar is being used where it counts on development and delivering value to our community,” Proulx said.

A Troubled Debut

Splitgate 2 has had a tumultuous start since its high-profile unveiling and launch at Summer Game Fest 2025. While the game generated buzz as a follow-up to the popular portal-based arena shooter Splitgate, it quickly came under fire for multiple missteps.

One of the early controversies surrounded Proulx himself, who appeared on-stage at Summer Game Fest wearing a red cap that read “Make FPS Great Again.” Many viewers criticized the move, interpreting it as politically charged and tone-deaf. Proulx later clarified that the hat was not intended as a political statement but rather a provocative nod to the studio’s mission to improve the FPS genre.

Adding fuel to the fire was the backlash over the game’s monetization model. Players were especially vocal about a cosmetic bundle priced at a steep $80 AUD, prompting widespread complaints. In response, 1047 Games reduced in-game prices and issued partial refunds, but the damage to public perception had already been done. Currently, Splitgate 2 sits at a “Mixed” rating on Steam.

Refocusing for the Long Haul

Despite the early missteps, 1047 Games insists it is not backing down. The studio says it remains committed to the long-term success of Splitgate 2 and is using player feedback to guide the game’s development roadmap. “We know we’ve made mistakes,” the studio acknowledged in a recent update. “But we’re listening, and we’re committed to delivering more of the content you love.”

As for those affected by the layoffs, community support has already begun pouring in. Several developers have taken to social media to share their experiences and are receiving help in finding new roles in the industry.

With co-founders foregoing their salaries and the studio shifting focus toward sustained development, it remains to be seen whether Splitgate 2 can recover from its rough start. One thing is clear 1047 Games is betting big on a long-term comeback.

Stay tuned to 1-Up Games as the story develops.