Hi-Rez Studios Conducts Second Round of Layoffs in Four Months Amid SMITE 2 Push

February 7, 2025 Omer Altay Comments

Hi-Rez Studios, the developer behind SMITE and Paladins, has initiated its second wave of layoffs in four months, impacting roles across game development, QA, and esports. The cuts follow October 2023’s “reorganization” to prioritize SMITE 2—currently in beta—over legacy titles.

Key Details

Scope: Over 20 employees confirmed laid off so far, per the SMITE subreddit, including programmers and QA staff. The studio’s esports division is also affected.
Context: Hi-Rez abruptly removed SMITE 1 from Nintendo Switch on January 30, citing “quality” concerns—a move now linked to cost-cutting.
Sudden Impact: Some employees were reportedly laid off mid-project, including staff who appeared on a studio stream just days prior.

In a Discord statement, Hi-Rez esports manager Hinduman confirmed the restructuring, emphasizing a renewed focus on SMITE 2’s competitive future: “Cash prizing will be provided by Hi-Rez [...] organized competitive play will remain a high priority.” However, he noted esports will “evolve” from SMITE 1’s model, with details on tournaments and community support coming “in the coming weeks.”

Broader Implications
Hi-Rez, once known for Tribes: Ascend and Global Agenda, has increasingly leaned on SMITE (2014) as its flagship amid struggles with newer titles like Rogue Company. The layoffs signal aggressive cost-cutting to fund SMITE 2, a Unreal Engine 5 reboot aiming to modernize the MOBA’s decade-old framework.

The removal of SMITE 1 from Switch—a platform with a niche but dedicated player base—and repeated layoffs risk alienating veterans. The studio has not clarified how SMITE 1 will be supported long-term, though its player count has dwindled since SMITE 2’s announcement.

For now, Hi-Rez’s future hinges on SMITE 2’s success. The beta has drawn mixed feedback, with critics noting performance issues and minimal gameplay innovation. With reduced staff and shuttered projects, the studio faces mounting pressure to deliver.

Further reading: Reddit discussion