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Frostpunk 2 developer 11 bit studios cancels unannounced project and lays off employees

By Dr. Elara Vance | December 08, 2025

Less than a week after Frostpunk 2 won Best Sim/Strategy Game award at , developer 11 bit studios has ended development on a game known internally as Project 8, and laid off a number of employees.

Project 8 had been in development since 2018, according to a released on December 17 (via ), and was intended to be 11 bit's first-ever [[link]] game "designed specifically for console gamers." But the project ran into trouble, particularly during the height of the Covid-19 pandemic, and the most recent progress review found "unresolved issues and challenges that would require further extensions of the production timeline and corresponding budget increases to address."

Changes in the gaming landscape since 2018 have also dimmed Project 8's prospects for success in the studio's eyes: 11 bit president Przemysław Marszał said the game "was conceived under very different market conditions, when narrative-driven, story-rich games held stronger appeal." That led to revised sales forecasts, presumably in the downward direction, and thus management decided to pull the plug.

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