11 Bit Studios cancels Project 8 and lays off staff as market conditions shift

11 Bit Studios has canceled its console game Project 8, leading to layoffs among its staff. The project, which began in 2018, faced ongoing issues and budget increases, ultimately causing management to lose confidence in its viability. The studio invested over 48 million PLN (about $11.8 million) in Project 8, but unresolved challenges and changing market conditions raised doubts about its profitability. The game's development was complicated by the COVID-19 pandemic, which hindered team stability. While more than half of the Project 8 team will be reassigned to other projects, the closure will still result in job losses. The studio remains focused on other titles, including Frostpunk 2 and The Alters.