Heart Machine Lays Off ‘Nearly Everyone’ After Publisher Pulls Unannounced Game — Studio Future Unclear

PC | MacMoody 16:9 RCG gaming thumbnail of a cracked glossy neon heart-core crystal on a dark workstation amid extinguished holographic screens and cold blue smoke, no text or logos.

Heart Machine — the studio behind Hyper Light Drifter — has laid off “nearly everyone” after a publisher walked away from an unannounced funded project, and founder Alx Preston says he is not sure whether the studio survives.

Preston’s statement (via outlets)

On September 16, 2026, Preston posted difficult news on LinkedIn. As quoted by Kotaku (Ethan Gach) and PC Gamer (Andy Chalk):

“I have very difficult news today. We had been working on an unannounced title, funded by a publisher. This week, the publisher decided to no longer move forward with it. Without this key income for the studio, any other immediate prospects or other funds, nearly everyone at the studio had to be laid off. It’s devastating.”

Kotaku’s fuller excerpt continues that everyone will get as much support as possible, including help with placement, and closes with Preston’s survival uncertainty:

“Right now, I’m not sure yet how or if Heart Machine survives. Navigating an increasingly challenging industry has been extremely difficult. However, we’ll keep pushing to build a path.”

PC Gamer paraphrases the close as Preston being “not sure yet what’s next for Heart Machine to survive,” while still “keep[ing] pushing to find a path.” Neither outlet names the publisher, and no exact headcount is published — do not invent either.

Studio context (reporting, not conjecture)

Kotaku notes Hyper Light Drifter (2016) built the studio’s reputation; Solar Ash followed; Hyper Light Breaker struggled in Early Access; Possessor(s) drew mixed/muted traction; layoffs had already begun last fall, and a short-lived Patreon pivot shut down earlier this year. PC Gamer similarly frames Breaker ending in Early Access and Possessor(s) as “mostly positive” but lightly reviewed on Steam. Treat that as sourced background for why the cancelled publisher deal hit so hard — not as a separate sales claim.

As-of: evening September 16, 2026 (2026-09-16 ~5:35 PM CDT (America/Chicago)). Quotes via Kotaku + PC Gamer LinkedIn reporting. Publisher unnamed; headcount not specified beyond “nearly everyone.”