The developers behind the recently launched Star Wars Zero Company have reportedly been furloughed weeks prior to the game's release, according to a report by Game File. This widespread furloughing is attributed to an ongoing legal dispute between the studio's co-founders concerning ownership of Bit Reactor.
Sources suggest that approximately 80 percent of the development staff were placed on a leave of absence without pay. This measure is typically enacted when a company faces financial difficulties or lacks available work. A reduced 'skeleton crew' is said to remain on payroll to address any immediate bugs or issues within Zero Company.
A spokesperson for Bit Reactor confirmed that "many" staff members were furloughed, emphasizing that this action was unrelated to Star Wars Zero Company's publisher, EA, or the intellectual property owner, Disney. An August 2024 lawsuit filing indicates that "most" of the studio's employees were affected, though the exact number was not disclosed.
The financial strain appears to be the primary driver for the furloughs, with the developer reportedly running out of funds shortly before the game's debut. Senior technical artist Zachariah Scott, who posted on LinkedIn about Bit Reactor "seemingly concealing" the furloughs, told Game File that he had spoken with nearly a dozen staff members who were placed on leave within the preceding weeks.
Bit Reactor's spokesperson expressed hope that furloughed developers would be rehired with restored pay, suggesting that the successful launch of Star Wars Zero Company would aid in this recovery. However, Scott voiced skepticism regarding the likelihood of all affected employees being brought back.
The lawsuit, initiated by co-founder Alison Kelly in 2024, centers on disputed ownership rights. Kelly claims she was wrongfully pushed out of the company, while the other co-founder, Greg Foertsch, asserts sole ownership. Kelly is seeking damages totaling $20 million, valuing the studio at double that amount. Foertsch, in turn, contends that Kelly was never a co-owner and has questioned her job performance, allegations she denies.
This situation casts a shadow over what should have been a celebratory moment for Bit Reactor. Star Wars Zero Company has garnered significant praise from both critics and players for its authentic depiction of the Star Wars universe and its tactical gameplay. The game also achieved commercial success, quickly reaching the top of Steam's bestseller list. The outcome of the legal dispute and the studio's financial situation will be critical in determining the future employment of its development team.