Crystal Power Lab confirmed that the new development of the Cemetery will not be affected.

Crystal Dynamics, a well-known game developer, has issued a statement confirming the downsizing through LinkedIn. This reduction is a “difficult decision” taken by the company to ensure “long-term healthy development of the workroom and core creation priorities”, although the official statement that the development of the new Guevara game will not be affected.

In a statement released by LinkedIn, Crystal Dynamics said: “By changing business environment, we have today made a difficult decision to separate ourselves from some of our good colleagues. While this is not done lightly, it is necessary to ensure that the workroom ‘ s long-term health and core creative priorities are adapted to the changing market. We express our sincere gratitude for the talent and dedication of the affected staff and pledge our full support during this transitional period. For the team, the player and the partner, thank you for your support as always — this includes the unfavoured future project of the Cemetery.”

This reduction, or in connection with last month’s Microsoft’s cancellation of the Perfect Dark Reboot project, was developed in cooperation with the Initiative Studio (now closed). Crystal power, based in San Mateo, California, has 33 years of industry history and is known for its heritage, the Keynes, the Gix and the Guevara. Its recent work, the League of the Vengeancers, has not met expectations despite the impact of IP.

Although Crystal Dynamics maintains that the new Cemetery Mirage project has not been affected, retrenchment may have an indirect impact on team morale and collaboration. As The Gamer reviews, retrenchment is a “traumatizing experience” for the remaining staff and may affect their focus on the development of the Cemetery. In addition, previous reports by industry sources that Crystal Dynamics is already facing a “strike” in the development of the Cemetery Mirage further call into question its “unaffected” statement.

In April 2022, the studio announced the use of Fantasy Engine 5 for the development of the Laura Clouseau series. A few months later, the Amazon game was confirmed as the issuer, after which the Amazon acquired video and adaptation rights, and planned to build an associated universe with new games. Since its announcement in April 2022, the project has published only conceptual art, showing that Laura, the lead actor, is wearing a classic costume, but has not shown games or published distribution windows. In 2024, the Amazon Game Leader, Christoph Hartmann, stated that the project was going well and that it was “relatively unaffected by Embracer layoffs” because of Amazon support.

Crystal power layoffs are only part of the 2025 game trade. Microsoft, Crystalk, Rocksteady and others have all reported layoffs or project adjustments this year, reflecting industry ‘ s dilemmas in terms of post-epidemic market return to normal, development costs surged and investment return uncertainty. For example, Microsoft cancelled Perfect Darkness and closed the Initiative, affecting some 9,000 employees, nearly half of whom were laid off in the Xbox department. Similarly, Crytek suspended the Crysis 4 development, with about 60 staff reductions.

With regard to the new production of The Guevara, the Amazon player, Christopher Hartman, said in June 2024 that “it will be shown to the public soon” and that the outside world is expected to see at least a preview of this December’s TGA award.