Over the weekend, Telltale Games made the surprising announcement that the studio would be closing down, laying off almost all employees effective immediately. Nobody was given a heads up, leaving around 225 developers to search for new studios to work at.
Telltale will keep 25 employees on until early 2019 in an effort to finish up any remaining commitments to board partners/investors. According to rumours, this is thought to be the Minecraft Story game for Netflix. Meanwhile, it is said that The Walking Dead's final season won't reach a final conclusion and all other projects are canceled, including Stranger Things and The Wolf Among Us 2.
— Telltale Games (@telltalegames) September 21, 2018
Telltale's official stance is that it will comment on its product portfolio in the coming weeks but given that 225 people just got fired with no severance pay, some of that information is making its way out early. The main reason behind the shutdown was poor sales. The Walking Dead always did well but other IP seemed to struggle.
Sony Santa Monica and Ubisoft have been among the first studios offering to meet with former Telltale developers to see about bringing them on board. Other studios are likely going to follow over the next week.
KitGuru Says: There were a few Telltale games that I enjoyed so this is certainly sad news. Hopefully those that were let go will land on their feet, after all, this all seems to come down to failures at the upper management level and hard workers are suffering for it.