Luna Abyss studio shut down just weeks after launch

A studio’s first game just became its last. Kwalee Labs, the team behind cosmic horror title Luna Abyss, has been shut down by publisher Kwalee, with every member of staff made redundant.

The news came not from an official statement, but from a LinkedIn post by Hollie Emery, the studio’s now-former CEO and Production Director. She confirmed the entire team was let go this week, calling it a decision “completely outside of our control.”

A promising debut cut short

Luna Abyss launched on May 21 to a warm reception. It sat at Very Positive on Steam and held a Metascore of 81, hardly numbers that scream failure. Being part of Xbox Game Pass at launch likely helped it reach more players too.

None of that was enough to save the studio. Emery’s post named several of those affected, including character artists, environment artists, a lead game designer, a narrative designer, and programmers, all suddenly job hunting after shipping their only release.

Kwalee Labs existed solely to make Luna Abyss. Now that the game is out, so is the team that built it.

Part of a wider pattern

The timing isn’t exactly isolated. This same week, multiple Xbox studios have been bracing for cuts under a new cost-cutting push from Asha Sharma, with Ninja Theory reportedly closing and Double Fine said to be on shaky ground.

For Luna Abyss specifically, there’s no word yet from Kwalee on what happens next, or whether the game will see continued support.

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