Zynga has confirmed the closure of its studio Echtra Games, known for the development of Torchlight 3. This decision is part of a strategic restructuring of the company, which aims to realign its resources and priorities. The closure ends the development of future titles and affects several roles within the studio, which was founded in 2016 by Max Schaefer, one of the co-founders of Runic Games, responsible for the original Torchlight series.
Torchlight 3 didn’t perform well, but the franchise is very beloved
Torchlight 3, released in 2020, received mixed reviews, being described as a “mechanically solid” but “bland” game compared to other titles of that year. The transition from Torchlight Frontiers, which was initially conceived as an MMO, to a conventional format game failed to capture the magic of its predecessors, as evidenced by its reception from both the public and critics.
Since its acquisition by Zynga, less than six months after the launch of Torchlight 3, the studio had planned to develop a cross-platform RPG in collaboration with NaturalMotion, but the project never progressed beyond the initial announcement. Due to this lack of progress and other changes in the company’s strategy, Zynga has decided to close Echtra.
This closure comes shortly after the cancellation of the game Star Wars: Hunters, also developed by NaturalMotion, and a reduction in staff at Take-Two Interactive, the parent company of Zynga. In April 2024, Take-Two laid off approximately 5% of its workforce and recently sold its independent-style publishing division, Private Division.
The financial situation of Take-Two has been volatile, with declines in its stock price following the announcement of a delay in the release of Grand Theft Auto 6. However, the stock value has recovered since then. As the video game industry continues to evolve, changes in management and development strategies remain an uncertain landscape for many studios.
