Telltale Games confirms layoffs, The Wolf Among Us 2 still in the works

The Wolf Among Us 2. developer Telltale Games confirmed layoffs at the company “due to market conditions,” but said all its in-development projects are still in the works.

“Due to current market conditions, we regrettably had to let some of our Telltale team go recently,” a Telltale Games representative said in an emailed statement to Polygon. “We did not take this action lightly, and our commitment to storytelling and finding new ways to do so remains the same. Our gratitude goes out to all those who have contributed to this project. We will continue to work to help everyone affected. All projects currently in development are still in production, and we have no further updates at this time.’

The company declined to disclose the number of layoffs. Former cinematic artist Jonah Huang worked for both Telltale Games iterations (before and after the 2018 layoffs) posted to social media that “most” of the team was laid off in early September. Telltale Games was said to have a team of under 10 members, and the majority laid off.

The layoffs extend into Telltale Games’ newly acquired Flavourworks, which was brought under the Telltale Games umbrella in August. Flavourworks, a company based in London that creates full-motion videos using its TouchVideo Technology, is an interactive video studio. EricaA thriller released in 2019. Hiro Capital is at least partially funding both Flavourworks and Telltale Games. Hiro Capital describes itself as an independent games and metaverse financier.

Three sources told Polygon that Flavourworks had roughly 12 people employed at the time of the acquisition, most of whom were given redundancy letters just weeks after the announcement — notices required by U.K. law to let workers know their jobs are at risk. Flavourworks management told its employees at the time that it only had enough cash for three months’ worth of work but was looking to find additional funding. A handful of workers were laid off in the weeks that followed, and the layoffs will continue into December, the people said, if new funding isn’t secured. Telltale Games has not yet responded to Polygon’s inquiry specifically into Flavourworks.

Apparently, Telltale Games separated the Flavourworks team. Sources told Polygon that the Flavourworks team was never given the chance to integrate into the company’s workflow, which gave workers reason to believe something was up — despite the initial excitement to have been acquired by such a notable studio as Telltale Games. Workers were confused by the speed at which things happened: What has brought us to this point so quickly after an acquisition of a company?

Telltale Series The Expanse, developed in collaboration with Deck Nine, is Telltale Games’ first release since the studio’s devastating implosion in 2018. Telltale Games had laid off most of its employees at that point, leaving only a small fraction (about 25 people) to complete ongoing commitments. Telltale Games was famously spun-up again in 2019, after LCG Entertainment bought its assets. The company was much smaller but brought in several employees who previously worked for the studio.

Alongside The ExpanseTelltale Games, in its new form, is expected to follow up on the 5-episode The Wolf Among Us, a 2013 game based on Bill Willingham’s FablesThe comic book The Wolf Among Us 2.The game was first announced for 2023, and was supposed to be released in 2020. However, it has been delayed until March. This project is presumably still in the works, judging by Telltale Games’ statement that all ongoing projects are still in development. However, with such reportedly sizable layoffs, it’s unclear when The Wolf Among Us 2.There will also be other titles released.