Splash Damage says layoffs are likely as the Transformers game it announced in 2022 is cancelled

Transformers: Reactivate teaser trailer still - four people looking at the viewer, who is Bumblebee

(Image credit: Splash Damage)

Splash Damage has announced that it has cancelled development of the online action game Transformers: Reactivate, and that layoffs at the studio are likely as a result.

"Today, we have some very difficult news to share, the decision has been made to end development of Transformers: Reactivate," the studio said in a message posted to X. "This means we will be scaling down to refocus our efforts on other projects. Unfortunately, despite every effort, a number of roles across the studio are now potentially at the risk of redundancy.

"This decision did not come lightly, and it is a difficult time for the studio and our people. We want to take a moment to thank the team who work on Transformers for their dedication and passion."

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Transformers: Reactivate was announced at the 2022 Game Awards as an "online action game" for 1-4 players, seemingly set in a not-too-distant future in which the Decepticons have conquered Earth. "All we have left is our hope for the Autobots, as we salvage them from the rubble left behind," the playtfr.com website says.

Transformers Reactivate - World Premiere Trailer | The Game Awards 2022 - YouTube

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The reveal trailer was remarkably short of Transformers, focusing almost exclusively on a band of rough, scrappy-looking humans doing a Robocop-style reactivation of an Autobot who I'm pretty sure is Bumblebee. It was a light-touch tease, and unfortunately it was all we really saw of the game. A full reveal trailer and closed beta was planned for 2023, but in December of that year Splash Damage said it wasn't going to happen. Instead, "exciting reveals and epic developments" were promised for 2024.

Splash Damage didn't say why its Transformers game was cancelled, but it did credit Hasbro as being "an incredible and supportive partner throughout," and expressed hope that it will be able to work with the company again at some point in the future.

Today, we have some very difficult news to share, the decision has been made to end development of Transformers: Reactivate. This means we will be scaling down to refocus our efforts on other projects. Unfortunately, despite every effort, a number of roles across the studio are now potentially at the risk of redundancy."This decision did not come lightly, and it is a difficult time for the studio and our people. We want to take a moment to thank the team who work on Transformers for their dedication and passion. — (Image credit: Splash Damage (Twitter))

Hasbro has previously committed to going big on videogames following the runaway success of Baldur's Gate 3: Dan Ayoub, head of digital product development at Hasbro's Wizards of the Coast, said in May 2024 that "Hasbro is in fact making videogames … we have a considerable investment in our studio structure; we've got over $1 billion in games right now being developed." Hasbro also reportedly has a big-budget GI Joe videogame in the works.

Alongside Transformers: Reactivate, Splash Damage was also working on Project Astrid, a survival game being developed in partnership with streamers Shroud and Sacriel. There's no indication that project will be impacted by the layoffs, but I've reached out for more information and will update if I receive a reply.

Andy has been gaming on PCs from the very beginning, starting as a youngster with text adventures and primitive action games on a cassette-based TRS80. From there he graduated to the glory days of Sierra Online adventures and Microprose sims, ran a local BBS, learned how to build PCs, and developed a longstanding love of RPGs, immersive sims, and shooters. He began writing videogame news in 2007 for The Escapist and somehow managed to avoid getting fired until 2014, when he joined the storied ranks of PC Gamer. He covers all aspects of the industry, from new game announcements and patch notes to legal disputes, Twitch beefs, esports, and Henry Cavill. Lots of Henry Cavill.