Schell Games Cuts About 40% of Staff

The Pittsburgh-based studio made its first layoffs in 24 years in August, then a second round in October.

Updated on Nov. 6, 2026 in Gaming

Bold flat-color vector editorial illustration of a single VR headset with a coiled cable on a bare workbench beside one pushed-back chair, suggesting a quieter studio. — Schell Games cut roughly 50 employees, about 40% of its staff, on October 31 after making its first layoffs in 24 years in August. AI Illustration. Upload story photo >

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Would you still trust a game studio's updates after it made major layoffs?

Schell Games cut roughly 50 employees, about 40% of its staff, on October 31, 2026. The studio had earlier made its first layoffs in its 24-year history on August 21, affecting roughly 14 people.

Why it matters

The cuts show the strain facing independent game studios, which the company attributed to the challenging state of the game industry. The studio's VR titles and contract work were both affected across the affected roles.

Schell Games' headcount was near 125 after the August layoff and near 75 after October, about 64 jobs cut combined. Because the studio has not published its headcount, the 40% figure rests on employee posts rather than company disclosure.

The players

Schell Games

An independent game studio known for original VR titles and co-development work, including Among Us 3D with Innersloth.

Innersloth

The independent developer of the social deduction game Among Us, with which Schell Games co-develops Among Us 3D.

The details

The layoffs hit Unity and Unreal engineers, artists, designers, sound designers, producers, marketing, IT support, QA, product management, and educational game researchers. Schell Games ran original VR titles such as I Expect You To Die, Until You Fall and Silent Slayer: Vault of the Vampire, alongside a contract and education business and co-development of Among Us 3D with Innersloth.

August 21, 2026: First layoff in the studio's 24-year history, affecting about 14 people.
October 31, 2026: Second layoff of roughly 50 people, about 40% of staff.
Spring 2027: Planned release window for Dragon Grove, announced for Meta Connect on Quest 3 and Meta VR Glasses.

Health Landscape

The cuts follow a wave of layoffs across the independent game industry, and Schell Games' first cuts in 24 years mark a departure for a studio that had avoided them. The reduction shows how even long-running studios with diversified VR, contract and education work are not insulated from the sector's financial pressure.

Players of Schell Games' VR titles and Among Us 3D may see slower updates as the studio operates with about 75 staff. The reduced team could affect the pace of upcoming releases, including Dragon Grove, which is planned for spring 2027.

The takeaway

Studio layoffs can signal wider financial pressure on the games industry, so players and fans of independent titles may want to watch for changes to development schedules. Following official studio announcements gives the most reliable picture of how such cuts affect future releases.