That's No Moon, the independent studio founded by veteran developers from Naughty Dog and Infinity Ward, has laid off approximately 14 staff members just two months after announcing Crossfire, their debut cinematic military shooter with sci-fi elements. The layoffs strike a dramatic turn for a studio that formed five years ago with significant pedigree in the industry.
The timing reveals the harsh realities facing independent studios in today's market. That's No Moon assembled talent capable of delivering AAA-caliber work, yet faces the same pressures affecting larger publishers. Crossfire generated moderate attention upon reveal, positioning itself as a competitor in the crowded first-person shooter space dominated by Call of Duty, Valorant, and Counter-Strike 2. A sci-fi military shooter from former Naughty Dog and Infinity Ward developers suggested promise, but apparently failed to secure sufficient funding or publisher backing to maintain the full team.
This layoff reflects broader industry instability. Since 2023, thousands of developers have faced cuts across studios of all sizes. Publishers grew cautious after overspending on live-service projects that underperformed. Independent teams face even steeper challenges securing funding in risk-averse conditions. Without major publisher backing or proven commercial success, maintaining a full roster becomes unsustainable.
That's No Moon likely faced a choice. Either scale down operations to match available funding, or attempt to secure additional investment at unfavorable terms. They chose the former. The studio retains some staff to continue development on Crossfire, suggesting they haven't abandoned the project entirely. However, the layoffs signal a recalibration of scope or timeline.
For players, this raises questions about Crossfire's viability as a finished product. Studios that cut staff mid-development often emerge with compromised visions. The shooter market punishes half-measures. Success requires either genuine innovation