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Lilith Games Lays Off 40 Employees

Lilith Games Lays Off 40 Employees - News

by William D'Angelo , posted on 02 December 2024 / 1,418 Views

Chinese developer Lilith Games has laid off approximately 40 employees, according to local media reports in China from Youxi Chaguan and GameLook and spotted by PocketGamer.

The team working on the life sim game, Project Party, has been cut from 100 down to 60, following a poor response from a test period. The lead producer on the game has also left the project.

Project Party has reportedly not been cancelled, however, it is undergoing gameplay changes.

A life-long and avid gamer, William D'Angelo was first introduced to VGChartz in 2007. After years of supporting the site, he was brought on in 2010 as a junior analyst, working his way up to lead analyst in 2012 and taking over the hardware estimates in 2017. He has expanded his involvement in the gaming community by producing content on his own YouTube channel and Twitch channel. You can contact the author on Twitter @TrunksWD.


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4 Comments
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JRPGfan (on 02 December 2024)

These guys mostly make mobil games right? The name doesn't really ring a bell.

  • 0
Pemalite JRPGfan (on 03 December 2024)

Yeah, chinese mobile developer.
Some of their games like AFK Arena have accrued over a Billion dollars of revenue... Rise of Kingdoms accrued 3.5 Billion, so I can see the logic in shedding 40% of your employees.

Must be doing it tough.

  • 0
JRPGfan Pemalite (on 03 December 2024)

Honestly if you have 100 employees and earn that much.... and your cutting to save wages.... wtf is wrong with the industry? thats so damn greedy.

  • +2
Pemalite JRPGfan (on 03 December 2024)

The video game industry was in a "bubble".
And that bubble has popped... So now there is a correction occurring across the entire industry.
Which is why we have seen 23,000 jobs lost in 2023 and 2024 alone.

Lots of factors contributed to it... During COVID there was unprecedented demand for video games, which forced companies to scale up their workforce.
That's gone.

Then you had the buying spree from Microsoft, Sony, Embracer Group, Tencent, Take-Two Interactive, and Electronic Arts who each made at-least one acquisition, most made several.
Every time a company is acquired duplicate work roles tend to be reduced and people let go.
Then you have the implosion of some publishers like Embracer who are struggling financially so having to cut away some of their staff and studios.

Cost of development has increased... Which is why we have seen the cancellation of many games.
I.E. Last of Us Online by Naughty Dog, Project Odyssey by Blizzard.

And big flops from the likes of Firewalk Studios with Concord doesn't help.

Unity is struggling, shed thousands of employees and they are a big platform for indie and AA developers... That could have a rolling impact later down the line.

2025 should prove to be interesting as we get all the corrections out of the way.

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