According to a Bloomberg report, all staff members of Annapurna Interactive have resigned following failed negotiations with the publisher’s parent company.
The report from Jason Schreier published today has brought to light a mass resignation at indie publisher Annapurna Interactive, with all 25 staff members, including President Nathan Gary, to tender their resignation.
This development follows The Hollywood Reporter’s previous report that Nathan Gary, along with the co-heads of Annapurna Interactive, Deborah Mars and Nathan Vella, has stepped down after failing to reach an agreement with Annapurna Pictures founder Megan Ellison. With Ellison looking to merge Annapurna Interactive’s gaming operations with the rest of the company’s dealings, which include film and television, Gary entered talks with the owner to spin off Annapurna Interactive into its own entity.
SCOOP: The entire staff of Annapurna Interactive has resigned, leaving dev partners scrambling to figure out what's next.
The video game publisher had been negotiating with Annapurna owner Megan Ellison (Larry's daughter) to spin out. Deal fell through. https://t.co/aDUxW2oK8g
— Jason Schreier (@jasonschreier) September 12, 2024
This deal eventually fell through, leading to the aforementioned trio’s exit, which was then followed by the rest of the staff. The staffers have since released a collective statement saying, “All 25 members of the Annapurna Interactive team collectively resigned. This was one of the hardest decisions we have ever had to make, and we did not take this action lightly.”
On the Annapurna side of the equation, Megan Ellison produced a statement to Bloomberg that reads, “Our top priority is continuing to support our developer and publishing partners during this transition. We’re committed to not only our existing slate of games but also expanding our presence in the interactive space as we continue to look for opportunities to take a more integrated approach to linear and interactive storytelling across film and TV, gaming, and theatre.”
Former founder of Annapurna Interactive, Hector Sanchez, has rejoined the company as President of Interactive and New Media after Gary’s departure. Sanchez will not only oversee the company’s indie game output, which Annapurna has become renowned for, but also plan to expand into “AAA, or large-budget, games.” According to Schreier’s report, Sanchez has reassured developers working with Annpurna that their contracts will be honoured and that the company will “replace staff who have left.”
So, that’s a lot to take in. It’s hard to foresee what the impact of this will be, but it’s hard to ignore that 25 people were disgruntled enough with the choices made by the company’s owner that each and every one of them packed their things and left. Moreover, the alleged plans for Annapurna to move into the AAA space are troubling, as the publisher has carved out an extremely well-regarded slice in the industry in the indie and AA market, often being a benchmark for success and quality. To jeopardise that with corporate ambition is a risky and muddy gamble, one that may see faith in Annapurna waver.
In any case, it’s a developing story that we will continue to monitor in the coming months.
What are your thoughts on this shake-up? Let us know in the comments or on our social media.
Shoutouts to Bloomberg and The Hollywood Reporter.
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