The Embracer Group is closing the Montreal-based developer it recently acquired from Square Enix just weeks after the studio rebranded as Onoma. Best known for Hitman GO, this is the team focused on mobile experiences rather than big-budget titles for consoles, which the company says it wants to fully focus on. As such, Onoma has already been cut.
Around 200 employees will be affected by the closure, but Embracer Group says it will try to match workers with open positions it has on console and PC projects. "We see the growth opportunities centered around our premier franchises and AAA games. Closing publishing QA and our Onoma studio is a difficult decision and one that we've taken with great care and consideration," said director Phil Rogers. "We greatly thank all those team members for their contributions over the years and hope to find proper placements for as many as possible."
When it rebranded to Onoma just three weeks ago, the developer spoke of its "ability to evolve and adapt to trends and market changes. Our rebrand as Studio Onoma is one more transformation that we are excited to take on." This closure means it no longer has the ability to do that.
According to Bloomberg's Jason Schreier, the main studio Eidos Montreal has also changed its plans. After cancelling a project, it's now working on a "recently rescoped" new IP, a new Deus Ex title that's "very, very early" in development", and helping Microsoft out with the development of Fable. This is in addition to Crystal Dynamics aiding the production of Perfect Dark. It's possible employees from Onoma could find themselves re-assigned to any one of these upcoming games.
[source bloomberg.com, via gamesindustry.biz]
Comments 25
That's pretty crazy, but thq is growing to large to fast.
This story highlights the worst part of industry consolidation.
@Bionic-Spencer Pretty much, yes. It may be that the studio could have closed anyway, but you're going to see a lot of acquired teams shut down over the coming years.
This story is surprising. I don't understand the rebranding really. Also, I'm not sure I understand why Crystal Dynamics and Eidos Montreal are having to take on outsourcing projects.
It shows the true face of this brand they dont care about the workers only the IP's.
@get2sammyb Its weird you take away such a great brand away for such a new stupid one.
It is worth mentioning, like the article states, this was the mobile team. I get Embracer wants to focus on consoles and PC, but it doesn't explain why they let them rebrand first?
They must have known they were going to shut this studio down. So strange!
@get2sammyb I think the Edios taking on contracting projects was simply Square Enix knowing they didn’t want to sink more money on the studio before selling it, and offering their services as outsourcing simply brought money in immediately. I doubt they will take on more outside projects once their obligations are completed
get2sammyb wrote:
This sort of thing happens the whole time in business sadly, especially in large entities. Square Enix Montreal would have been give the nod to rebrand and at the same time Embracer would have been evaluating what to do with them. Two different processes.
We did a massive rebrand and website for a company a few years ago, about 35K worth of work, only for them to sell up and rebrand again 3 months later. Money down the drain. All too common sadly, left hand not communicating with right hand.
I welcome a new Deus Ex but it HAS to be multiplatform, locking well established third party IP's to one system is nauseating and surely no one other than a prepubescent bedroom console warrior could think otherwise.
Gotta say Embracer has not inspired much in terms of confidence ever since they came onto the scene. Poor reception to the games they have released. Seemingly no real direction when they purchase these studios. Now this? Not a good look. They own a few developers of series I like including Tomb Raider and Metro. After this news I can't say I like where things are going for them.
It's odd, they bought so many IPs, but I'm yet to play any games with their brand on it.
Eidos Montreal made my GOTY last year, since then they were bought by Embracer, the head writer left for Bioware, new project been downscaled and now doing support work for Xbox.
Sadly it would seem Embracer are more about acquiring IP then the actual developer talent.
Less Mobile games more AAA titles. Fine with me.
If I was on some Hitman GO mobile team and get relocated to AAA Deus Ex or Fable... I would be a very happy camper.
There is a Steam Deck now. Make a PC game and it is a handheld game. No need to invest in all this other stuff.
@get2sammyb Pretty easy... it is black money laundry. Buyout some minor company, rebrand, close. Soooo much money accounted as loss...
Disgusting. Everything wrong with the industry.
They let them rebrand to then shut them down, the money wasted! Poor people, hope they find new jobs and quick. And tbf Hitman Go was actually a pretty decent little mobile game, one of the 3 mobile ive enjoyed playing every now and then.
@RenanKJ Well of course Embracer Group branding isn't gonna be on the case... They're a holding company. You would be see the branding of THQ, Dark Horse, Coffee Stain, Deep Silver, Gearbox... etc on the cases.
Maybe it would be a good idea for them to think about whether they had a use for the studio before they bought it.
@Agramonte. I think Valve announced in early October that they had shipped over a million Steam Decks, one of which was delivered to me. A million units as opposed to the ubiquity of a cell phone. I don’t play mobile games, but I can see why companies would want to invest in that market.
What a shame. Lara Croft Go is the best mobile game I've ever played. I bought Hitman Go and Lara Croft Go when they released on PS4. As a matter of fact, Hitman Go was the very first Platinum trophy I ever earned.
I'm willing to guess the majority of game developers don't get in the industry to develop mobile games, looks like they're doing them a service presuming they can still work in the company elsewhere.
Wtf?? Someone needs to stop this european tencent.
Probably didn't want this studio but had to buy it to get the others lol
Deus Ex????????????????????????? 😭😭😭😭 I'm so happy right now
@Agramonte Same opinion, couldn't care less about mobile games.
I do hope they are all able to find jobs elsewhere though, preferably helping with AAA console titles.
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