Still Wakes the Deep developer The Chinese Room regains its independence

The Chinese Room, maker of Still Wakes the Deep, has bought back its independence. The studio will continue developing new franchises after splitting from the Sumo Group. The latter said earlier this year that it’s pivoting away from original games and toward co-development work. Tencent bought the British studio Sumo for $1.27 billion in 2021.

Game Developer reported that VC firm Hiro Capital facilitated the Chinese Room’s independence deal. Studio head Ed Daly told the publication on Monday that the company is open to partnering with other developers moving forward.

Unfortunately, the studio’s good news is tainted with an all-too-familiar story. The studio confirmed to Game Developer that it will lay off an undisclosed number of employees as part of the split. “Following the divestment process, a number of roles were regrettably made redundant,” a company spokesperson said. “The specifics are confidential, but the studio is currently 55 developers. This was a very difficult process as we sought a future for the studio outside of Sumo. No more layoffs are planned as the studio moves forward.”

The “modern horror classic” Still Wakes the Deep isn’t all the studio is known for. The Chinese Room also made Little Orpheus, Everybody’s Gone to the Rapture and the OG walking simulator, Dear Esther. The UK-based developer is also working on Vampire: The Masquerade — Bloodlines 2 with Paradox Interactive. The long-delayed title is scheduled to launch in October. The Chinese Room is also developing two other unannounced titles.

“This management buyout allows us to scratch the creative itch of continuing to work on new, original intellectual property but also to partner with other studios on other projects when they fit in with our vision,” Daly told Game Developer. “This is what we are doing and we want to carry on doing it, so we’re happy to carry on in this vein.”