We're still feeling aftershocks from Microsoft's destructive July layoffs and cancellations

Tomb Raider studio Crystal Dynamics has imposed another round of layoffs, putting an undisclosed number of people out of work in the face of "evolving business conditions."

"Today we made the very difficult decision to part ways with a number of our talented colleagues as the result of evolving business conditions," the studio announced in a message posted on LinkedIn. "This decision was not made lightly. It was necessary, however, to ensure the long-term health of our studio and core creative priorities in a continually shifting market."

This is the second round of layoffs for Crystal Dynamics, which put 17 people out of work in March, cuts that were also made to ensure "the studio's future success." Crystal Dynamics took another hit in July when Microsoft cancelled the Perfect Dark reboot as part of its layoff of roughly 9,000 employees across its company.

That project was being led by The Initiative, which was closed following the cancellation, but Crystal Dynamics came on board as co-developer in 2021, and the cancellation appears to be at least partly responsible for these layoffs: Multiple employees who have been let go by the studio specified in their LinkedIn profiles that they were working on the Perfect Dark reboot, and one, narrative designer Leilan Nishi, said her layoff came "in the aftermath of Perfect Dark's cancellation."

The Embracer-owned studio said people who no longer had jobs as a result of the cuts will be offered "the full extent of support and resources at our disposal," and thanked remaining employees and fans for their "continued support as we build a creative, sustainable, and resilient tomorrow together." It also confirmed that "the future of Tomb Raider" will not be impacted by the cuts.

The future of Tomb Raider is also kind of unclear, however. The 'Unified Lara' art released in early 2024 seemed to suggest that something was in the works, and the new-look Lara has since appeared in Pinball FX and World of Tanks, but there's been no subsequent word of when to expect an actual new Tomb Raider game. The most recent, Shadow of the Tomb Raider, was released in 2018.

The layoffs at Crystal Dynamics feel similar to recent cuts seen at Romero Games, which cancelled an in-development FPS and laid off employees after losing funding for the project: Not part of Microsoft, but still forced to let people go as a result of Microsoft's deep cuts.

But that industry instability has also helped fuel a push for increased unionization: Just today, more than 450 people on the Diablo development team at Microsoft-owned Activision Blizzard voted to unionize, in part a response to the lack of job stability and near-constant threat of mass layoffs. The past few months have also seen Blizzard's World of Warcraft and Overwatch 2 teams form unions, as has Microsoft-owned Bethesda Game Studios.

I've reached out to Crystal Dynamics parent company Embracer to ask how many people have been let go and will update if I receive a reply.