Spiders, Kylotonn, and Cyanide File for Insolvency as Studio Closures Continue to Mount in 2026

Three notable French game studios — Spiders (GreedFall), Kylotonn (WRC rally series), and Cyanide (Blood Bowl) — have all filed for insolvency this month, adding to a growing wave of closures that has swept the industry into 2026. The GDC 2026 State of the Industry report found that 28% of respondents had lost a job in the past two years, while NetEase simultaneously pulled funding from Nagoshi Studios — the team behind the upcoming Gang of Dragon from former Yakuza creator Toshihiro Nagoshi — casting the project's future into doubt. Industry consolidation is also accelerating, with Savvy Games Group's confirmed $6 billion acquisition of Mobile Legends publisher Moonton from ByteDance closing this month.