Take-Two is shutting down the studios behind Rollerdrome and Kerbal Space Program 2

This one’s a bummer. Mega-publisher Take-Two Interactive is shuttering Rollerdrome studio Roll7 and Kerbal Space Program 2 team Intercept Games, according to paperwork seen by Bloomberg.

Roll7 is based in London, and was founded in 2008 by lifelong friends Tom Hegarty and Simon Bennett. Roll7 is the studio behind OlliOlli, OlliOlli World and Rollerdrome, all fantastic games with wheel-based mechanics. OlliOlli was a Vita hit in 2014 and World landed in early 2022 — they’re both great, and the latter in particular is a flow-state-inducing skateboarding platformer with an adorable art style. Rollerdrome was one of our favorite games of 2022; it’s a luscious third-person rollerskating-and-gunplay game that looks like a slice of 1970s dystopian sci-fi.

Roll7 has picked up multiple prestigious awards over the years, including recent wins at BAFTA and DICE. As the studio name implies, Roll7 developers know how to make incredibly smooth action games.

Take-Two purchased Roll7 in November 2021 and made it a subsidiary of Private Division, the company’s label for small- and mid-size publishing deals. According to Bloomberg, Take-Two plans to close Roll7 and will offer severance packages to staff.

Intercept Games is based in Seattle and is responsible for Kerbal Space Program 2, a popular flight-simulation title that’s still technically in early access on Steam. Take-Two founded Intercept in 2020 specifically to manage Kerbal Space Program 2, and the game has been receiving updates since going live in February 2023.

Take-Two has yet to confirm that it’s closing Intercept Games — but it hasn’t said it isn’t, either. The company filed a notice in Washington on Monday outlining plans to lay off 70 people in the state and permanently close their place of business, and some Kerbal developers have confirmed their recent departures. Private Division will continue to update Kerbal Space Program 2, Take-Two said in a statement.

Take-Two is one of the largest video game companies around, reporting $5.3 billion in revenue last year. It’s the owner of Grand Theft Auto and the parent company of Rockstar Games, 2K, Private Division, Zynga and — very recently — Gearbox Software. Take-Two purchased Borderlands studio Gearbox in March for $460 million. Grand Theft Auto VI, arguably the most anticipated game of the decade, is due to add billions to Take-Two’s bottom line in 2025.

In April, Take-Two announced plans to lay off 5 percent of its employees, or roughly 600 people, by the end of 2024. It also canceled some in-development projects. When news of the planned firings broke last month, Take-Two didn’t identify which studios would take the hit, but now we know it includes Roll7 and Intercept. The company laid off some Private Division workers in 2023 as well.

An estimated 9,400 people have been laid off in the video game industry so far in 2024, and a total of 10,500 workers were let go in 2023. Sony, Microsoft and Riot Games have fired a combined 3,300 employees this year alone, and the fallout from Embracer Group’s funding implosion keeps spreading, with numerous shuttered studios and more than 1,400 displaced workers.