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

Just Cause developer begins UK consultation; Swedish teams to be reduced as part of a wider restructure

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 Publishing—while the project’s future is evaluated. No specific number of roles affected in Liverpool or Sweden was disclosed.

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 staff (~50 roles) as it sought a more stable, sustainable future.

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

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