Riot Games has laid off approximately 80 employees from the development team behind its new fighting game, 2XKO. This significant workforce reduction comes just 20 days after the title's full release on console platforms. The cuts represent nearly half of the global team dedicated to the free-to-play game, formerly known as Project L. Executive Producer Tom Cannon announced the layoffs, explaining that 2XKO's player engagement momentum did not reach the level needed to support a team of its original size for the long term.^{[1][2][3][4][5]} ### Riot Games Downsizes 2XKO Team Weeks After Release The decision to reduce staff was made public around February 9 and 10, 2026. This timing is critical, falling swiftly after 2XKO's full launch on PlayStation 5 and Xbox Series X|S on January 20, 2026.^{[2][6][7][8][5]} The fighting game had already offered an early access period for PC players, beginning in October 2025.^[1][9][10] The layoffs affect roughly 80 positions, meaning a substantial portion of the game's global development workforce is impacted.^{[1][6][11][12]} Tom Cannon, a key figure in the fighting game community and Executive Producer for 2XKO, communicated the news in a company blog post. He acknowledged that the game "has resonated with a passionate core audience."^{[1][6][4][11]} However, Cannon emphasized that "overall momentum hasn't reached the level needed to support a team of this size long term."^{[1][6][4][11][13]} This assessment of player engagement metrics, particularly following the console expansion, prompted the restructuring.^{[1][3][6][11]} The company framed the decision as a strategic shift in its operational approach. Cannon stated, "Ultimately, this decision reflects a shift in how we operate. This isn't a judgment on individual [employees] or a signal that the journey is over. We're reshaping the team to give 2XKO a more sustainable path forward."^{[1][3][4][11][13]} Riot aims to continue developing 2XKO with a "smaller, focused team," focusing on essential improvements and player-requested features.^{[6][4][11][13]} Riot Games has outlined support measures for the affected employees. The company plans to assist them in finding alternative roles within other Riot departments where possible.^[1][3] For those who do not secure new positions internally, Riot has committed to providing a minimum of six months of notice and severance pay.^[1][3][14] This package also includes other benefits, such as cash bonuses and health coverage in relevant locations.^[15] ### Long Development Road and Shifting Strategy The fighting game, now known as 2XKO, has a long and intricate development history spanning nearly a decade. It was initially unveiled to the public in 2019 under the codename Project L.^[1][16][14] Riot Games demonstrated its commitment to the fighting game genre by acquiring Radiant Entertainment in 2016. This studio was co-founded by Tom and Tony Cannon, recognized figures for their contributions to the fighting game community and expertise.^[3][16] The acquisition was a strategic move to integrate experienced talent into the project, ensuring "FGC DNA" within the development process.^[2] Despite this extensive investment in development, the game's initial performance post-launch, particularly after its console debut, did not align with the company's expectations for sustaining a large team.^[2][3][14] Executive Producer Tom Cannon noted that "consistent trends" in how players were engaging with 2XKO became apparent as the game expanded from PC to console.^{[1][3][6][11][13]} This indicated that while a dedicated core audience existed, the broader momentum required for a team of the original size was absent.^{[1][6][4][14]} The company emphasizes that its commitment to 2XKO remains. A spokesperson affirmed that the layoffs are not a signal that the game's journey is ending.^[1][4][11] Instead, the restructuring is intended to create a more efficient and sustainable development pipeline. The remaining "smaller, focused team" is tasked with continuing work on "key improvements" for the game.^{[3][6][4][11]} These improvements are expected to include features and adjustments that players have already expressed interest in.^[6][11][13] ### Competitive Future Intact Amid Industry Challenges Riot Games has publicly stated that the layoffs will not impact the planned 2026 Competitive Series for 2XKO.^{[6][4][11][17]} The company intends to uphold its partnerships with various fighting game community (FGC) tournament organizers and local groups.^[3][9] This commitment aims to reassure the competitive player base about the game's long-term esports viability. However, there are indications that the game's content roadmap for seasons has been adjusted, reportedly shrinking from an initial plan of five seasons down to three.^[2] This adjustment could affect the pace and volume of new champions and in-game content releases.^[2] These recent layoffs at 2XKO's team are part of a larger pattern of workforce reductions that have impacted Riot Games over the past two years. In January 2024, the company announced a significant round of layoffs, affecting approximately 530 employees, which constituted about 11% of its total global workforce.^{[6][18][19][20][21]} At that time, Riot CEO Dylan Jadeja explained that the company was undergoing a "refocusing" process.^[6][18][15] He noted that Riot had made "a number of big bets" since 2019, and some of these investments were not yielding the expected returns, necessitating a shift towards "fewer, high-impact projects."^{[6][18][19][15]} A smaller round of 32 staff cuts also occurred in October 2024.^[17] The video game industry as a whole has been experiencing widespread layoffs, with thousands of workers losing their jobs globally in recent years.^[18][19][20] This trend reflects a challenging economic environment, where companies are navigating increasing development costs, intensified competition, and a re-evaluation of growth strategies post-pandemic.^[20] The rapid downsizing of the 2XKO team underscores the pressure on even well-established studios to ensure their games meet specific performance indicators shortly after launch.^[2][14] The restructuring of the 2XKO development team underscores the current economic realities and strategic adjustments impacting game development studios worldwide. Riot Games is adapting its team size to align with player engagement trends, aiming to secure a more sustainable future for the fighting game title.

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