Yes—Krafton is still supporting Subnautica 2, while Unknown Worlds leads development. The game entered Early Access in May 2026, and Unknown Worlds’ official homepage listed an update and hotfix as recently as October 6, 2026. The 2025–26 dispute involved executive removals, operational control and an acquisition earnout. Public reporting establishes leadership changes, but the available evidence does not establish mass layoffs of studio staff.
Who is making Subnautica 2 now?
Following a settlement announced in late June and reported on July 1, 2026, Unknown Worlds continues to lead development and Krafton continues to provide support. That describes the companies’ roles; it does not mean the same executives remain in charge. Game Developer reported that Ted Gill would leave the company as part of the settlement. The complete settlement contract has not been made public in the reports cited here, so its full terms should not be inferred from those summaries.
| # | Preview | Product | Price | |
|---|---|---|---|---|
| 1 |
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Subnautica (PS4) | $23.46 | Buy on Amazon |
| 2 |
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Subnautica + Subnautica Below Zero Double Pack (Nintendo Switch) | $45.60 | Buy on Amazon |
| 3 |
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Subnautica - Xbox One | $69.14 | Buy on Amazon |
Unknown Worlds’ homepage listed Subnautica 2 Early Access updates and hotfixes through October 6, 2026, and links to Steam, Epic Games and Xbox. This is a live development project, not a game whose production ended with the dispute.
Were there layoffs at Unknown Worlds?
The reporting establishes the removal of Unknown Worlds’ co-founders and CEO Ted Gill in July 2025, Gill’s later reinstatement by court order, and his departure under the settlement. It does not establish a broad workforce layoff: the reports summarized here provide no headcount, list of affected non-executive employees or evidence of mass staff cuts. Calling the episode “layoffs” without that qualification would conflate leadership changes with a documented studio-wide reduction.
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- Descend into the depths of an alien underwater world filled with wonder and peril
- Craft equipment, pilot submarines and out-smart wildlife
- Explore lush coral reefs, volcanoes, cave systems, and more
- Underwater survival and exploration
What happened in the dispute?
The disagreement centered on executive leadership, control of the studio and the earnout tied to Krafton’s acquisition of Unknown Worlds. In July 2025, Krafton removed the studio’s co-founders and CEO Ted Gill, citing what it described as leadership shortcomings and development delays. The former leaders alleged Krafton was delaying the game to avoid a $250 million earnout. That was their allegation about Krafton’s motive, not a finding that the court made.
On March 16, 2026, the Delaware Court of Chancery issued a phase-one decision in Fortis Advisors, LLC v. Krafton, Inc. It found Krafton had breached the earnout agreement by terminating key employees without valid cause and improperly taking operational control of Unknown Worlds. The court ordered Gill reinstated as CEO and restored his authority over the Early Access launch. It also extended the base earnout testing period by 258 days, to September 15, 2026, and noted a contractual route to extend it further through March 15, 2027. The decision did not resolve every damages or earnout question.
Rank #2
- Survival is key: gather valuable materials, craft tools, manage your hunger and thirst, all while evading the dangerous wildlife that sees you as its next meal
- the mysteries submerged on planet 4546b: you came here in search of answers. You risked everything to get here and you will not leave until you have uncovered the truth…
- exploration: Delve into unique Aquatic and terrain biomes that will unlock not only materials, but the answers that you seek
- build your habitat: crafting and building the comforts of home here. These bases will be integral for your survival from not only the wildlife, but also the harsh environment around you
The parties settled in late June and July 2026 and agreed to dismiss pending legal proceedings. Yonhap quoted a Krafton official saying the companies were focusing on development and the game’s official launch, with Unknown Worlds leading and Krafton providing support. Game Developer reported Gill’s departure as part of the settlement and quoted him saying, “New leadership is the best way for the studio to move forward.” Those reports describe the settlement’s outcome, but not the complete contract.
How the game’s status changed
| Date | What was reported | What it means |
|---|---|---|
| Earlier delay announcement | Unknown Worlds said it was moving the planned Early Access release to 2026 after playtest feedback highlighted areas needing improvement. It said the additional time would support more biomes, vehicle upgrades, tools, story and creatures. | This was the studio’s earlier explanation and schedule, not the current release status. |
| March 16, 2026 | The Delaware Court of Chancery issued its phase-one ruling on the earnout dispute and ordered Gill reinstated with launch authority. | The ruling addressed the contractual and control issues described above; it did not settle every financial question. |
| May 2026 | Subnautica 2 launched in Early Access, according to Yonhap’s July 1 report. | The earlier plan to launch in Early Access during 2026 was superseded by the actual May launch. |
| July 1, 2026 | Yonhap reported that sales had exceeded four million copies since the May Early Access launch. | This is a sales figure reported on July 1, not a current lifetime total. |
| October 6, 2026 | Unknown Worlds’ official homepage listed a Subnautica 2 hotfix. | The studio’s update feed shows continued development after the settlement. |
What Early Access feedback has the team addressed?
In a letter to the community, the Subnautica 2 team said some players found predator encounters frustrating and the ways to mitigate them unclear or unreliable. The team described work on creature behavior and player mitigation, including aggression timing, aggro range, flare effectiveness, Survival Tool effectiveness, and creature interactions with vehicles and bases.
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Rank #3
- Dive into a vast underwater world - sub Nautica's ocean range from shallow coral reefs to treacherous deep-sea trenches, lava fields, and bio-luminescent underwater rivers
- Scavenge, craft, and survive - after crash landing in your life pod, the clock is ticking to find water, food, and to develop equipment needed to explore as you collect resources from the ocean
- Construct underwater habitats - build Bases on the sea Floor, choosing layouts and components, and managing hull-integrity as depth and pressure Increase
- Unravel the mystery - signs abound that something is not right and you must Figure out what happened to this planet and what caused you to crash - can you find a way to make it Off the planet alive
- Disrupt the food Chain - lure and distract a threatening creature with a fresh fish, or simply swim as fast as you can to avoid gnashing jaws of roaming predators
These are the studio’s stated priorities and planned responses, not an independent assessment of whether the changes have resolved those concerns. The team framed the series around vulnerability, exploration and survival rather than conventional weapon-based combat, and said Early Access should be “a conversation with our players, not a one-way explanation from the development team.”
Quick Recap
What should players take away?
- Subnautica 2 is already in Early Access, and Unknown Worlds continued posting updates into October 2026.
- Unknown Worlds leads development; Krafton provides support.
- The dispute produced a court finding about the earnout agreement and operational control, followed by a settlement and Gill’s departure.
- The available reporting supports describing executive removals and leadership changes, but not mass layoffs of the wider workforce.
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