Crytek admits to financial difficulties

Crytek_crysis_feature_finances_01

Over the last few weeks there have been numerous reports about the financial difficulties that developer Crytek – Crysis, Ryse: Son of Rome, and the CryEngine – have been facing, with reports that staff have walked off the job and high profile resignations. Crytek remained adamant that there were no issues with finances and employee compensation, but earlier today the developer released a statement to GamesBeat with Jeffery Grubb reporting the news.

In the statement, Crytek acknowledges the rumors and reports that have been circulating about their financial situations, and never really denies any of them. Crytek admits that the company had been going through a “transitional phase” and that they faced many challenges as they moved from a development studio to a larger online publishing firm. Through this process they admit that there was a breakdown in communication between their employees and the media, and that they were purposefully withholding information as they attempted to secure new sources of capital.

Since Crytek now claims that they have secured a “new foundation” for their future in both the short and long term, they will be moving forward with the development of their upcoming Homefront: The Revolution. Yet outside of a 2015 release date, there was little said about its progress or if the resignations and “transition” had caused any delays in its development.

When GamesBeat directly asked Crytek about the validity of the reports about the company, they stated that they were “inaccurate” and speculative. Still with little answers about has actually been happening over the past few months during this so-called transitional phase, it would appear that Crytek has not been as forthcoming with the public as they should have been during this time. While this is a good first step for the company, one can’t help but wonder if this isn’t really the end of these reports and difficulties.

Here is the full statement released to GamesBeat for your reading pleasure:

In recent weeks, there have been repeated reports and rumors relating to financial problems at Crytek. Having already given an update to staff across all our studios, we are now in a position to share more details with members of the press and public.

 

Internally, we have acknowledged that the flow of information to employees has not been as good as it should have, however we hope you understand that communicating details of our plans publicly has not always been possible.

 

Like the games industry as a whole, Crytek has been in a transitional phase. Our evolution from a development studio to an Online-Publisher has required us to refocus our strategies. These challenges go along with an increased demand for capital which we have secured.

 

We can now concentrate on the long term strategic direction of Crytek and our core competencies. We kindly ask for your understanding, that we won’t be communicating further details about our developments and progress.

 

Ultimately, with our organization, capitalization, portfolio and technologies we have now laid the foundations for securing Crytek’s future — not just in the short term, but also long term.

 

Through this period of speculation, we are thankful for the support and encouragement we’ve received from our community and our partners, and for the contribution all of our staff have made. We remain committed to doing what we are best known for and trying to develop the best interactive experiences and technology possible for everyone who loves gaming.

 

We are confident that we will be able to share more positive news on Crytek’s progress soon.

Primary: GamesBeat

Secondary: EuroGamer

Brian Kale
With a firm belief that the day doesn't start without a firm cup of coffee, Brian has been writing almost as long as he has been gaming. Based out of Brooklyn where he spends his days discussing the rise of robotic singularity and the modern RPG revival.
Brian Kale
Brian Kale

Latest posts by Brian Kale (see all)

Written By
Developer
Publisher
 

Related posts

Top