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Night Street Games cuts jobs after Last Flag fails to “achieve the financial success we anticipated”

Night Street Games layoffs have followed the disappointing commercial performance of Last Flag, the studio’s hero shooter that launched only a few weeks before the team reduction was announced. The studio has not disclosed how many employees were affected, but it says the game did not generate the financial results it had expected.

Image credit: Night Street Games

Night Street Games layoffs follow Last Flag’s financial shortfall

Executive producer Jonathan Jelinek shared the news on LinkedIn, explaining that Last Flag fell short of the studio’s financial expectations and that this led to a smaller team. He also noted that experienced developers who worked on the project were among those affected.

Jelinek said the affected developers have Unreal Engine experience and invited companies seeking skilled developers to contact them. The studio has not published an official figure for the number of roles eliminated, so the scale of the layoffs remains unknown.

For players, that uncertainty makes it useful to separate the staffing news from the game’s availability. Night Street Games has said that Last Flag is not being shut down, even though further development will be limited by the studio’s financial circumstances.

What the studio says about Last Flag’s future

Earlier in the month, Night Street Games explained that it had stopped ongoing content development. The independent studio said it had aimed to offer a complete game at an affordable price rather than compete with large publishers through a free-to-play live-service model. Its approach also avoided battle passes and microtransactions.

The studio acknowledged that Last Flag had not attracted the audience needed to support the experience it wanted to provide. It said that additional development—including work on console versions—was unlikely beyond a set of planned patches.

However, the studio outlined several updates it hoped to release over the following months. These included:

  • A tenth playable character
  • A new map and a new game mode
  • Cosmetic items and leaderboards
  • Additional updates intended to give players more value and control

The studio has emphasized that the game will remain available and that it intends to keep it from disappearing. The items listed are plans shared by the studio, rather than a guarantee that every feature will arrive on a particular date. Players can check Night Street Games’ own updates for the latest information about patches and content.

What players should know about the Night Street Games layoffs

The layoffs reflect the financial pressure facing the studio after Last Flag failed to reach its expected level of success. Although the team is smaller and support is expected to be limited, the game is not currently set to shut down. The number of affected employees has not been confirmed.

In short, the Night Street Games layoffs signal a reduced development outlook, not an announced end to Last Flag. Players should expect planned patches and the studio’s stated updates, while keeping in mind that future development depends on the project’s financial reality.

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