Since the release of Overkill’s The Walking Dead, Starbreeze has taken a nosedive. The publisher has been losing money at an alarming rate and recently confirmed that support for Overkill’s The Walking Dead has ceased. Now, according to the Q1 financial reports the company doesn’t have the funding to continue operating for long.

According to the report:

“Starbreeze and some of its subsidiaries have been in reconstruction since December 3, 2018,” stated the report. “The company currently lacks sufficient secured funds to continue operating for the coming 12 months and a liquidity shortfall is expected before mid-year 2019 if no additional funds are provided.”

The first quarter saw the company in the negative for $11.08 million. Payday 2 brought in $2.7 million and the company’s overall first-quarter sales were about $4.9 million.

CEO of Starbreeze Mikael Nermark stated

“My main task is to secure financing for the company’s future operations. This involves both long-term financing we can use to build the Starbreeze of the future, but also making sure that the assets we have determined are unrelated to the core business are managed in a commercially viable way,” he said in the report. “Once this financing has been secured, we will be able to look ahead and present a more detailed strategy for the future.”

Hopefully Starbreeze can bounce back from this as we’ve seen enough mass layoffs within the gaming industry.

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Adam S
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Adam is a Senior Staff Writer for GamerAssaultWeekly with over 5 years of experience in writing and is completely obsessed with video games. He holds a BA from Brooklyn College and lives in NY.