Sega Sells Relic Entertainment And Cuts 240 Jobs, Studio Will Become Independent

In efforts to meet the demands of today's economic atmosphere, Sega is clearing a developer from its books. According to GamesIndustry.biz, the publisher will be selling noted game studio Relic Entertainment. Known for the Dawn of War line of Warhammer games and Company of Heroes, the Canadian-based company will shift to an independent studio, with aid from Sega and an external investor, London investment firm Emona Capital, as this parting will trim over 120 employees. This will cause a ripple effect through Sega's European studios like Creative Assembly, Sega Europe, and Sega HARDline (Developers of Sonic Dream). The shortage of staff from Sega's European divisions have come with development casualties, like the cancellation of the team-based competitive shooter Hyenas in September 2023, along with other unannounced canned projects. 

"Change is necessary to secure the future of our games business, and to ensure that we are well placed to deliver the best possible experiences to our players going forward," Sega Europe CEO Jurgen Post. “We need to streamline, focus on what we are good at, and position ourselves as best we can for the road ahead. In order to do that, we need to respond to the changing economic landscape and the challenges we’re facing in the way we develop our products and bring them to market.”

Company of Heroes 3 is currently gearing for its first big update following the departure from Sega, which will include British Forces’ Australian Defense and the Deutsche Afrikakorps’ Battlefield Espionage, which action during World War II in North Africa.

Company of Heroes 3 is currently available for the PlayStation 5, Xbox Series X|S, and Windows.

SOURCE: GamesIndustry.biz

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