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Kwalee Labs shut down following launch of Luna Abyss

The Kwalee Labs shutdown was announced about a month after the studio released its sci-fi shooter, Luna Abyss. The nine-person team was made redundant, according to CEO Hollie Emery, bringing the studio’s work to an end shortly after the game reached PC, PlayStation and Xbox players.

Image credit: Kwalee Labs

Kwalee Labs shutdown follows Luna Abyss release

Luna Abyss launched on May 21 and received positive reviews from critics. The game was developed by Kwalee Labs, a studio previously known as Bonsai Collective. Kwalee acquired Bonsai Collective out of administration in September 2025, after which the team was rebranded as Kwalee Labs.

Emery announced on LinkedIn that all nine members of the team had been made redundant. They said the decision was completely outside the team’s control. Emery also thanked the industry, journalists and media for the support and response the game received.

For players, the closure announcement does not by itself clarify whether future updates or support for Luna Abyss will continue. The statement provided no details on ongoing development plans, so players looking for current support information should check the game’s official channels and platform listings.

Luna Abyss sales and platform availability

Data from GameDiscoverCo put Luna Abyss sales at 12,000 units on Steam. The title was also released on Xbox and PlayStation. The Steam figure covers sales on that platform; the available information does not provide a combined sales total across all platforms.

Emery described the game’s release as a career highlight despite the challenges the team faced during development. They said the developers were proud that the project had been completed and made available to players. The team members were also stated to be available for work following the redundancies.

From Bonsai Collective to Kwalee Labs

Bonsai Collective was founded in 2019 as a fully remote studio and was led by Emery, who had previously worked at Team17. In 2021, the company received a $3.5 million investment from publisher Super.com as part of a publishing agreement. Super.com later changed its name to Super Good Games in 2022.

Kwalee is a UK publisher launched by Codemasters founder David Darling. At the time covered by the announcement, it had published seven titles during the year, with the deckbuilding game Rune Dice identified as its highest-selling release.

What the closure means for the team

The shutdown means the full nine-person Kwalee Labs team is no longer working together at the studio. Emery’s announcement said the former team members were available for new roles. For readers following the developers’ next projects, individual career updates may provide the clearest information about where team members go next.

The Kwalee Labs shutdown came soon after Luna Abyss reached players, despite the positive critical response noted by the studio’s leadership. The release, reported Steam sales and the team’s availability for work are the key details confirmed in the announcement.

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