Highguard Studio Hit With Layoffs Weeks After Launch

Why this matters: These layoffs highlight the volatile nature of the gaming industry, particularly for studios launching new live service games. It underscores the difficulty of competing with established titles and the financial pressures faced by developers even after a seemingly successful launch.

Wildlight Entertainment, established in 2022 by veterans from Respawn (known for *Apex Legends* and *Titanfall*), aimed to make a splash with *Highguard*, a free-to-play hero shooter. The game, announced at the 2025 Game Awards, combined FPS mechanics with unique elements like rideable mounts and raid mechanics.

*Highguard* launched on PC and consoles on January 26, 2026, and initially attracted a significant player base. However, the game received mixed reviews on Steam, and its concurrent player count rapidly declined. Just weeks after launch, reports emerged that Wildlight Entertainment had laid off a significant portion of its staff.

The layoffs raise questions about the sustainability of new live service games in a competitive market. While Wildlight's studio head emphasized the importance of player enjoyment over player numbers, the reality is that maintaining a live service game requires a steady stream of revenue and a dedicated player base. The rapid decline in *Highguard's* player count may have contributed to the studio's decision to reduce its workforce.

This situation is a reminder of the risks involved in launching new live service games, especially when competing against established giants. It also underscores the importance of positive reception and sustained player engagement for the long-term success of a game.

*Highguard* is a free-to-play hero shooter developed by Wildlight Entertainment, combining FPS mechanics with rideable mounts and raid mechanics.

Reports suggest that the layoffs were due to the game's lukewarm reception and a rapid decline in player count after its initial launch, making it difficult to sustain the live service.

This situation highlights the challenges faced by new live service games in a market dominated by established titles, emphasizing the need for positive reception and sustained player engagement.

What are your thoughts on the challenges faced by new live service games? Do you think *Highguard* had the potential to succeed? Share this article with others who need to stay ahead of this trend!