Splash Damage is scaling down after scrapping Transformers: Reactivate

UK studio Splash Damage is downsizing after scrapping in-development online action title Transformers: Reactivate.

In a post on X, the studio confirmed the decision has left some employees "at risk of redundancy."

Transformers: Reactivate was being developed in partnership with Hasbro. It was unveiled in December 2022 at The Game Awards and pitched as a 1-4 player online action game for PC and consoles that would mark "a new era for Splash Damage."

It's unclear why the project was canceled, but Splash Damage said the decision wasn't made lightly.

"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 risk of redundancy," said the studio.

"The 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 worked on Transformers for their dedication and passion."

Splash Damage said Hasbro was a "supportive partner" throughout production and expressed hope it will work with the company again. The studio described the cancelation as "painful" but said it will support employees impacted by layoffs.

"We're now focused on doing everything we can to support them through this tough period, just as we are committed to caring for those who will stay with us as we build a stronger Splash Damage for the future," it added.

The news comes around six months after Splash Damage said a "small number" of employees were at risk of being laid off following a business review.