
Key Takeaways: The Quick Answer
- Eidos-Montréal is laying off 124 employees across its production and support teams.
- Longtime Studio Head David Anfossi is leaving the company after nearly two decades of leadership.
- The studio is currently shifting focus to co-develop Grounded 2 and the Fable reboot for Xbox.
A Heavy Blow for Eidos-Montréal
The gaming industry continues to bleed in 2026. Eidos-Montréal just announced a devastating round of layoffs, cutting 124 jobs from its roster. According to an official statement posted to LinkedIn, the studio claims this reduction is a direct result of changing project needs.
The reality on the ground is brutal—this is just the latest hit under the Embracer Group umbrella.
Historically, the studio has been battered by recent downsizing. They lost 75 people in March 2025, which followed a cut of 97 employees in January 2024 when a highly anticipated Deus Ex project was unceremoniously scrapped.
For the fourth time since March 2025, Eidos Montreal is laying off employees. This time, 124 people are being let gohttps://t.co/T72t6MoonE
— Insider Gaming (@InsiderGamingIG) March 30, 2026
The Departure of David Anfossi
Alongside the mass layoffs, the studio is losing its captain. David Anfossi is officially stepping down.
He joined the team back in the day as a producer on Deus Ex: Human Revolution and steered the ship as Studio Head for over a decade. The official statement frames the exit as a mutual parting of ways, but the timing is incredibly heavy.
Right now, there is no permanent replacement lined up. A transition plan is currently in the works while the remaining team tries to stabilize.
Also learn more about the mysterious AAAA game Eidos-Montréal was allegedly working on!
What This Means for Fable and Grounded 2
The powerhouse team behind Marvel’s Guardians of the Galaxy and Shadow of the Tomb Raider is no longer steering its own massive single-player worlds.
Instead, Eidos-Montréal has transitioned into a massive support pillar for Xbox. They are currently co-developing Grounded 2 alongside Obsidian and helping Playground Games push the Fable reboot across the finish line.
While those specific Microsoft projects are likely insulated, losing 124 talented developers is a massive hit to the creative heartbeat of the Montreal development scene.
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