Update #2 [Sat 5th Jul 2025, 12:15am]: The doors have closed on Galway-based Romero Games and over 100 staff are job-less after Xbox pulled funding on the studio’s latest game.

That’s according to Irish publication The Journal, which matches previous reports on the topic.

While the details are still murky, it’s believed that Microsoft subsidiary Bethesda was signed on to publish this brand new first-person shooter from legendary DOOM designer John Romero and his team.

However, it pulled funding this week as part of a wider cost-cutting exercise which saw multiple games cancelled, one studio shuttered, and many out of work.

There is some small semblance of hope that Romero Games could source new funding and resume operations in the future, but for now, it’s shut up shop.

Update #1 [Thu 3rd Jul 2025, 6pm]: According to the resumes of affected developers at Romero Games, the entire studio has been laid off in the aftermath of this week’s Xbox news.

Multiple staffers across a variety of disciplines – from art through to programming – have posted about the situation, with several saying the entire team has been let go.

One ex-employee in particular said it’s “devastated the studio is closing due to cutbacks from the publisher”.

Original Story: An upcoming project from the legendary DOOM designer John Romero and his team has been cancelled as part of the wider Xbox cuts which have rocked the industry this week.

The removal of funding – which Insider Gaming reports would have been published by Microsoft subsidiary Bethesda, presumably on PS5 as well as other platforms – has resulted in layoffs at developer Romero Games.

In a statement, it said:

“This absolutely isn’t a reflection of our team’s work, performance, or the quality of the project itself. We hit every milestone on time, every time, consistently received high praise, and easily passed all our internal gates. We are incredibly proud of the work being done, and of the talented team behind it. The best we’ve worked with.”

The studio is now scrambling to learn what to do next. It also mentioned that “several other unannounced projects at other studios” have been affected as well.

It added:

“This was a strategic decision made at a high level within the publisher, well above our visibility or control. We deeply wish there had been something, anything, we could have done to prevent this outcome.”

It seems like layoffs have already hit Romero Games as a result of the cancellation, with artist Cristoph Redl among those confirming he’s lost his job.

This week Microsoft laid off more than 9,000 employees worldwide, with the Xbox division hit particularly hard.

Among the disruption, the company cancelled high-profile first-party games like Everwild and Perfect Dark, both of which would have likely released on the PS5.

Meanwhile, division head Phil Spencer is staying put, despite rumours of him retiring. It’s nice to know that someone at Xbox still has job security, huh?