Bithell Games, the indie studio celebrated for titles like Thomas Was Alone, John Wick Hex, and most recently Tron: Identity and Tron: Catalyst, has announced significant layoffs, affecting most of its full-time staff just two months after the release of Tron: Catalyst. 
Founder Mike Bithell shared the news on BlueSky, citing the studio’s inability to secure a new large-scale project as the key reason.
According to Bithell, the financial struggles were apparent even before the launch of Tron: Catalyst. “It became clear leading up to the release of our most recent game that we were not immune to the challenges faced by many development teams seeking funding in 2024 and 2025,” he explained. The studio worked to soften the blow for departing employees through severance packages and advance notice.
Bithell emphasized that existing games will continue to be supported despite the cuts, and the team is still developing a new project, Amberspire. However, the news casts uncertainty over the studio’s future direction, especially in light of mixed fan reception to Tron: Catalyst. Some longtime Tron fans criticized the game’s tone and creative direction, feeling it strayed from the franchise’s core identity, while others defended its narrative risks.
Tron: Catalyst launched on June 17, 2025, for PC, Nintendo Switch, PS5, and Xbox Series X/S-making the layoffs come almost exactly two months later. For many, it’s a stark reminder of the harsh realities of modern indie game development, where even established studios can find themselves struggling to secure the next big deal.