"Star Wars: Hunters Publisher Closes Studio of Torchlight, Diablo Creator Before New Game Reveal"

According to IGN, the San Francisco-based studio will cease operations by the end of the month. While the exact number of affected employees is not confirmed, LinkedIn indicates that 61 individuals currently list Echtra Games as their employer.

Zynga issued the following statement regarding the closure:

"Zynga has made the difficult decision to cease operations at its Echtra studio, ending development on future titles and reducing roles. This decision is part of a strategic realignment of the company's resources and priorities. We will work closely with impacted employees so they are treated with the utmost respect and consideration as we navigate this difficult process."

Echtra Games was founded by Max Schaefer, one of the co-founders of Runic Games — the studio behind the Torchlight franchise — and a former co-founder of Blizzard North, known for creating Diablo. After the departure of his fellow co-founders from Runic Games, Schaefer established Echtra under investor Perfect World to develop a Torchlight MMO. Over time, the project evolved into Torchlight Frontiers, and eventually became Torchlight 3.

In 2021, Zynga acquired Echtra Games, allowing Perfect World to take over development of Torchlight 3, while Echtra shifted focus to a new, unannounced RPG designed for cross-platform play. The project was being developed in collaboration with NaturalMotion, the team behind CSR Racing and Star Wars: Hunters.

Tragically, no details were ever released about Echtra’s unreleased RPG, and the game was never publicly showcased. While the specific reasons for the studio’s closure remain unclear, it follows closely after Zynga announced the shutdown of Star Wars: Hunters — a title developed by NaturalMotion — just nine months after its launch.

Notably, Zynga operates as a subsidiary of Take-Two Interactive, the publisher behind the Grand Theft Auto series. Earlier this year, Take-Two underwent significant restructuring, including the gradual disbanding and sale of its Private Division publishing label. Additionally, the company laid off approximately 5% of its global workforce just over a year ago and canceled several internal projects.