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Avalanche Studios Group statement announcing proposed closure of Liverpool studio and reductions in Malmö and Stockholm

Avalanche Studios Group to Close Liverpool Studio, Cut Roles in Malmö & Stockholm

Posted on October 2, 2025August 26, 2026 By Ronny Fiksdahl

Just Cause Developer Begins UK Consultation; Swedish Teams to Be Reduced as Part of Wider Restructure

Avalanche Studios Group has proposed closing its Liverpool studio while reducing headcount in Malmö and Stockholm as part of a wider company restructuring.

Avalanche Studios Group has announced a proposed closure of its Liverpool studio and the start of a collective consultation process in the UK. The company also plans to reduce headcount at its Malmö and Stockholm locations as part of a broader restructuring announced on September 30, 2025.

The update follows August’s decision to halt active development on Contraband, the 1970s smuggling game previously in collaboration with Xbox Game Studios Publishing, while the project’s future is evaluated. No specific number of roles affected in Liverpool or Sweden was disclosed.

Avalanche Studios Group logo on a black background
Image: Avalanche Studios Group

It marks Avalanche’s third studio shutdown in a little over a year. In June 2024, the company closed its New York and Montreal offices and laid off roughly 9% of its workforce, around 50 roles, as it sought what it described as a more stable and sustainable future.


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This story will be updated if the company provides additional details.


Written by Ronny Fiksdahl, Founder & Editor-in-Chief of Fix Gaming Channel.

Send interview pitches, corrections, tips, or developer stories to contact@fixgamingchannel.com.

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Gaming News, Industry News Tags:Avalanche Studios Group, Contraband, Industry News, Just Cause, layoffs, Liverpool, Malmö, Stockholm, studio closure, UK consultation, Xbox Publishing

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