Avalanche, the developer behind the Just Cause franchise, has announced the closure of two of its five studios and layoffs amounting to some 9% of its global workforce, a reduction of around 50 employees.
With its Montreal and New York offices closing, Avalanche Studios Group will retain offices in Stockholm and Malmo in Sweden and Liverpool in the UK. In a statement (thanks VGC), the group said: "This is an exceptionally difficult decision, but we believe it's necessary to ensure a stable and sustainable future for the company. Our focus is now on supporting all Avalanchers through this challenging time. We're grateful for the invaluable contributions of those leaving and remain committed to creating incredible gaming experiences for our players."
Avalanche is also known for its work on Rage 2 (co-developed with id Software) and 2015's Mad Max. The studio celebrated its 20th anniversary in 2023. It only announced plans to open its Montreal office in October, following the acquisition of Canadian studio Monster Closet in 2021.