Warner Bros. Montréal has reportedly experienced layoffs, with multiple developers announcing their job search on LinkedIn after March 13, 2026. This news comes amidst ongoing struggles for Warner Bros. in the gaming industry, highlighted by a significant 48% drop in games revenue in their recent Q1 2025 earnings report. Factors contributing to this decline include the cancellation of major projects like the planned expansion for Hogwarts Legacy and layoffs at Rocksteady following the underwhelming performance of Suicide Squad. The studio is reportedly trying to rebuild its gaming pipeline post-acquisition by Paramount Skydance, yet its recent earnings report mentioned little about the current state of its gaming sector.

What are the implications of the Warner Bros. Montréal layoffs for their upcoming games?

The layoffs could lead to potential delays in game development and a reduction in the quality of future titles, as experienced developers leave the studio. This uncertainty may affect the overall trajectory of games like Gotham Knights and any future projects, further complicating Warner Bros.' efforts to revive its gaming division.

Warner Bros. Montréal is primarily known for developing the Gotham Knights game, which allows players to explore Gotham City through various heroes as they try to maintain peace and justice. The game's reception has been lukewarm, and these layoffs signal deeper issues within the studio and the broader gaming division of Warner Bros. This trend raises concerns about the future of beloved franchises under Warner Bros.' banner.