Starbreeze Sacrifices Dungeons & Dragons Game in Bid to Salvage Payday's Future
2025-10-04
Image credit: Photo by Zhiyuan Sun on Unsplash
The adventure is over before it began. Starbreeze, the Swedish developer behind the long-running Payday series, has officially canceled its highly anticipated Dungeons & Dragons game, codenamed "Project Baxter." In a move that signals a dramatic strategic retreat, the company is shelving this new venture to refocus all its resources on its core franchise following the commercially troubled launch of Payday 3.
The decision, which was announced alongside significant organizational changes that will see approximately 44 employees laid off, marks a stark course correction for the developer. "Project Baxter," a co-operative multiplayer title being built in Unreal Engine 5, was first unveiled in December 2022 with a target release of 2026. Now, just over a year after its announcement, the plug has been pulled while the project was still in its pre-production phase, a clear attempt to mitigate financial risk and circle the wagons around its most valuable asset.
A Difficult but Necessary Pivot
This cancellation is not an isolated event, but a calculated business decision born from necessity. According to Starbreeze CEO Tobias Sjögren, the move is designed to steer the company toward a more stable and focused future. "We have a clear plan to create a future for Starbreeze with a focus on a more manageable and profitable portfolio of games," Sjögren stated, as reported by Video Games Chronicle. "We are convinced that this is the right way forward."
The rationale is one of risk versus reward. By terminating the D&D venture early, Starbreeze is cutting its losses on a project it no longer sees as viable in its current climate. "Project Baxter was in pre-production, and we see an increased risk and a lower projected ROI for the project compared to the alternative of focusing on our core business," Sjögren explained in a statement cited by GamesIndustry.biz.
The human cost of this strategic pivot is significant. With around 44 staff members now facing layoffs, the decision underscores the severity of the company's situation. In his public statements, Sjögren acknowledged the team's efforts, expressing gratitude for their commitment. "I want to thank the team that has been working on Project Baxter for their commitment and passion," he said, framing the broader move as a repositioning of the company to "focus on our core business and our long-term ambition of being a market leader in the co-operative multiplayer game segment."
The Long Shadow of Payday 3
This corporate restructuring does not exist in a vacuum. The decision to abandon a promising new project licensed from powerhouse Wizards of the Coast is widely understood to be a direct consequence of Payday 3's underperformance. While the cancellation is undoubtedly a disappointment for fans who were anticipating a new co-op adventure in the D&D universe, the move has been met with a sense of grim understanding rather than surprise. The challenging launch and reception of Starbreeze’s latest heist-shooter created a financial reality where doubling down on the flagship franchise became less of a choice and more of a necessity for survival.
Starbreeze is now betting its entire future on its ability to right the ship with Payday. By shedding the financial and developmental burden of a major licensed game, the studio has made its mission unequivocally clear: the Payday franchise must succeed. The critical questions, however, remain unanswered. The creative direction of "Project Baxter" will now remain a mystery, and the full financial implications of terminating the licensing agreement with Wizards of the Coast have not been disclosed. With its focus narrowed to a single point, the pressure on Starbreeze to deliver a revitalized Payday experience has never been greater. The company has sacrificed a new world of adventure to save its old one; now it must prove the cost was worth it.
Sources:
- Eurogamer: https://www.eurogamer.net/payday-developer-starbreeze-cancels-dungeons-and-dragons-project-to-focus-on-its-flagship-franchise-two-years-after-it-was-announced
- Rock Paper Shotgun: https://www.rockpapershotgun.com/payday-devs-starbreeze-cancel-their-mystery-dungeons-dragons-game-and-announce-plans-to-lay-off-around-44-staff
- Video Games Chronicle: https://www.videogameschronicle.com/news/starbreeze-has-cancelled-its-dungeons-dragons-game-and-is-laying-off-44-staff-as-it-focuses-on-payday/
- GamesIndustry.biz: https://www.gamesindustry.biz/starbreeze-cancels-project-baxter-approximately-44-workers-affected-by-layoffs