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Liquid Swords CEO confirms studio closure following bankruptcy proceedings

Image credit: Liquid Swords

The Liquid Swords closure has been confirmed by CEO and founder Christofer Sundberg, following the studio’s bankruptcy filing. Sundberg said challenging market conditions and business decisions contributed to the outcome, while the release of the company’s debut game, Samson, did not generate enough support to keep the studio operating.

Liquid Swords closure confirmed by CEO

In a statement shared on LinkedIn, Sundberg said he was proud of the work the team completed, even though the company could not continue. He also acknowledged that the studio’s situation reflected both difficult market conditions and decisions made during the business’s development.

The company is in discussions with the parties involved about how to continue supporting Samson. No specific support plans have been announced. Players should therefore check official game channels for confirmed updates rather than assume that future updates or services are guaranteed.

Sundberg thanked former employees, business partners and players for their support. He said the team’s work on the studio and its game deserved recognition beyond the circumstances of the company’s closure.

Bankruptcy, employee dismissals and studio assets

Samson developer Liquid Swords filed for bankruptcy after employees reportedly went two months without receiving their salaries. The Swedish state wage guarantee is expected to cover those unpaid wages. A company facing insolvency can have assets and employment arrangements handled through formal proceedings, so staff and prospective buyers may need to follow the administrator’s process for confirmed information.

All 27 employees are being dismissed as part of the bankruptcy. The administrator, Swedish law firm Cirio, stated that employee contracts do not transfer automatically with the business. A buyer seeking to hire former staff would need to make new employment agreements with each person.

A preliminary bidding document described the assets available for sale. These include intellectual property connected to Samson, the company’s other intellectual property, development assets, equipment and inventory used in its operations. The bidding window is scheduled to close on October 21, 2026.

Samson sales and revenue figures

As of October 14, 2026, Samson had sold 151,900 copies and generated SEK 24.1 million ($2.4 million) in revenue, according to figures included in the preliminary bidding document. These figures provide a snapshot up to that date and do not establish what any potential buyer may pay for the game or related assets.

What comes next for Christofer Sundberg?

Sundberg said he intends to return to game development and has plans for a new studio. He described the future company as one designed around current market conditions, with a stronger business foundation and decisions intended to give both games and their creators room to succeed. He also said lessons from Liquid Swords would inform how he builds the next studio.

Sundberg founded Liquid Swords in 2020 after co-founding Avalanche. NetEase acquired an undisclosed minority stake in Liquid Swords in 2022. In February, the studio also reduced its workforce, describing the move as necessary for its long-term sustainability; it did not disclose how many employees were affected at that time.

What the Liquid Swords closure means for players

The bankruptcy process places the company’s intellectual property and related development assets within a sale process, while future support for Samson remains under discussion. For now, players should distinguish between the confirmed closure and any possible plans for the game: no further support arrangement has been announced. The Liquid Swords closure ends the studio’s current operations, but the outcome for Samson may depend on discussions and the sale of its assets.

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