Palia MMO Faces Uncertainty as Singularity 6 Undergoes Third Staff Reduction in Nine Months

The inviting MMO Palia is facing uncertain times as its developing studio undergoes a third wave of staff reductions, this time impacting 40% of its team.

Singularity 6, the creative force behind the inviting MMO Palia, has announced the termination of approximately 40% of its workforce. The team responsible for Palia has dismissed about 36 staff members - amounting to 40% of its total employees - based on insights from Nicole Carpenter of Polygon, casting doubt on what lies ahead for the beloved online game. This marks the third instance of job eliminations at Singularity 6 within nine months, following the dismissal of 49 staff in April and a subsequent, smaller set of layoffs in September 2023. "A number of individuals opted to depart in the aftermath of the April reductions, significantly diminishing the team size," according to a subsequent social media update.

Palia launched its Open Beta exclusively via the Epic Games Store last year and made its way to Steam in March 2024. A series of subsequent updates meant to enhance gameplay ironically stirred discontent among beta participants seeking a purely relaxing experience, particularly with Palia's "first significant update" and its inaugural major event, which both faced criticism.

Initially attracting followers of Stardew Valley prior to its launch, Palia now holds a 'Mixed' evaluation from more than 7,000 Steam user critiques, primarily pointing out bugs and the absence of an Early Access designation on its storefront as predominant issues.

The layoffs at Singularity 6 are part of a broader trend of job cuts throughout the gaming sector this year, including about 90 employees from Sony, nearly 2,000 positions from Microsoft before the closure of various studios associated with Bethesda last week, and others within EA, Embracer's numerous teams, and beyond.