Official Steam header artwork for Senua's Saga: Hellblade II, showing Senua's face framed by dark braided hair
Image: Steam store

Around October 5, 2026, Ninja Theory employees started posting on LinkedIn that their roles had been made redundant. Journalist Chris Kerr spotted the posts, and Insider Gaming reports that his post and a Video Games Chronicle report "have confirmed that layoffs have begun at Ninja Theory."

According to Insider Gaming, the cuts hit several departments, including gameplay programmers, technical directors and sound designers. Some people have already been let go and others are told their jobs are at risk. Employees named in Beebom's report include a performance capture technician, a gameplay programmer and a principal programmer.

Neither Microsoft nor Ninja Theory has commented on the layoffs, and the number of people affected hasn't been disclosed.

Two weeks after the closure warning

On September 22, Xbox's Matt Booty wrote that "two separate agreements for Ninja Theory fell through." Xbox then opened consultation with employees on a proposed closure, while saying it was still exploring "other paths forward." No end date for that consultation has been announced, and no final decision has been made public.

Ninja Theory is the outlier in Xbox's 2026 restructuring. Xbox divested Double Fine and Compulsion Games in July, and Undead Labs left on similar terms, announced on September 22. Ninja Theory is the studio where both sale attempts failed.

What happens to Senua?

Ninja Theory revealed Senua, a new action-adventure game in the Hellblade series, at the Xbox Games Showcase in June 2026, with a 2027 release planned. According to Insider Gaming, the trailer was reportedly revealed to attract potential buyers for the studio.

Microsoft hasn't said whether Senua will be finished, moved to another team, paused or cancelled.

For the full context of the September cuts, see our coverage of Xbox handing Halo to Activision.

Sources

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Vostrike's editorial desk. Articles are researched from cited sources and checked by a human editor before publication. We don't put our own score on games we haven't played.