In a surprising and controversial move, Krafton the publisher behind PUBG and the owner of Subnautica developer Unknown Worlds Entertainment has completely replaced the studio’s top leadership team. The decision, announced in early July 2025, removes key figures including studio CEO Ted Gill, co-founder and creative director Charlie Cleveland, and technical director Max McGuire.

According to Krafton, the leadership overhaul was necessary to “inject new energy and momentum” into Subnautica 2, the highly anticipated follow-up to the beloved underwater survival adventure. After more than four years in development, Subnautica 2 has yet to hit Early Access, missing internal milestones and facing increasing pressure from stakeholders.

From the Depths to the Surface: A Leadership Overhaul

Stepping into the role of CEO is Steve Papoutsis, a veteran of the survival-horror genre with past credits on Dead Space and The Callisto Protocol. While Papoutsis brings decades of experience to the table, the sudden removal of Subnautica’s original creators has fans worried about the direction the franchise may now take.

Charlie Cleveland, who played a pivotal role in shaping the tone, design, and success of the original Subnautica games, was especially beloved by the community. His exit, alongside Gill and McGuire, signals a clear shift in leadership philosophy and potentially, creative vision.

Fan Backlash: “Subnautica’s Soul Has Just Been Ripped Out”

The reaction from fans has been swift and overwhelmingly negative. On Reddit, Twitter, and the Subnautica Discord, players expressed disappointment and concern. The prevailing sentiment: that the original team understood the magic of Subnautica, and their removal signals a corporate-driven future rather than one guided by artistic passion.

“Subnautica’s soul has just been ripped out,” reads one of the top Reddit comments. Others called for boycotts, with players removing Subnautica 2 from their wishlists in protest.

Many fans fear that the sequel could abandon the franchise’s unique identity in favor of broader market trends, especially amid industry-wide pushes toward live service models.

Unknown Worlds Responds: “No Microtransactions, No Battle Passes”

In an attempt to calm the storm, Unknown Worlds issued a public statement shortly after the leadership change. The studio clarified that while the executive team has changed, the core development team remains intact. They also reiterated that Subnautica 2 will not feature microtransactions, battle passes, or other live-service mechanics.

The game is still described as a primarily single-player experience, with an optional four-player cooperative mode. The developers assured fans that the sequel will retain the essence of what made Subnautica special, while introducing new features like deeper base-building, expanded biomes, and a new narrative exploring themes of AI, post-humanism, and survival.

What’s Next for Subnautica 2?

Despite the controversy, Subnautica 2 remains scheduled for Early Access release later in 2025 on PC and Xbox Series X|S. Whether the leadership change will lead to accelerated progress or derail the franchise’s creative vision remains to be seen.

For now, fans are holding their breath, waiting to see if the new leadership can deliver a worthy successor to one of gaming’s most beloved survival titles. But with trust shaken and the community on edge, Subnautica 2 now faces an uphill battle both in development and in the hearts of its most loyal players.

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Subnautica 2 may still take players back to the ocean’s mysterious depths, but the waters are looking a lot murkier than before.

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