Don’t Nod, the studio behind the original Life is Strange, is facing a serious financial crisis and estimates that its current resources may only allow it to continue operating until January 31, 2027, unless additional revenue or external funding is secured.

The situation follows a difficult financial period for the French developer and publisher, with operating revenue falling dramatically year-over-year.

Don’t Nod Says Current Funding Could Last Until January 2027

Don’t Nod reported €6.1 million in operating revenue, representing a 56% decline compared to the previous year. Revenue also fell by 14%.

Without sufficient additional revenue or external financing for upcoming productions, the company currently estimates that it has enough resources to maintain operations until January 31, 2027.

That doesn’t mean Don’t Nod will necessarily shut down on that date. New investment, financing, publishing agreements or stronger revenue could extend its runway, but the current figures underline the seriousness of the studio’s position.

Around 90 Jobs Could Be Affected

As part of its restructuring efforts, approximately 90 employees could potentially lose their jobs.

Don’t Nod is also changing how it develops games. Rather than working on numerous productions simultaneously, the company intends to return to a one-game-at-a-time development strategy, potentially reducing costs and allowing its teams to concentrate resources on fewer projects.

The studio has endured a difficult period despite a portfolio that includes Life is Strange, Vampyr, Banishers: Ghosts of New Eden and other narrative-focused games.

For now, Don’t Nod’s future beyond January 2027 appears heavily dependent on securing additional funding and stabilizing its financial position.