A screenshot of Crisol: Theater of Idols, showing the protagonist being attacked by an undead creature

Image via Vermila Studios

Vermila Studios, the developer behind Crisol: Theater of Idols, has laid off 19 staff members and is risking closure.

In a statement sent to Game Developer, Vermila Studios CEO David Carrasco said the following: "Unfortunately, due to financial reasons, we've had to dispense with the staff at Vermila Studios. We're going to try to pull through for the time being without shutting down, but the circumstances are quite difficult and it its a feasible possibility in the upcoming months."

The team launched Crisol: Theater of Idols on February 10 of this year, which was published by Blumhouse Games. Now, five months later, developers at the studio have started writing farewell posts on social media.

Game designer Raúl Pernía Alejandro said that, a few months after launch, Vermila, which is based in Spain, has initiated a Expediente de Regulación de Empleo (ERE). This is a legal process in Spain that companies use when they need to issue layoffs or temporarily suspend contracts.

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The ERE, Alejandro continued, culminated in the entire team's layoff. "For us who have dedicated so much effort and care to this project, this is very tough news," his post reads, as translated by Game Developer.

"Yet, I don't want for this to be the memory that remains. Working [on] Crisol has been the first stage of my professional career, and a experience of which I feel very, very proud of. I've learned so much and I've had the luck to share these two years with amazing people."

Vermila Studios was founded in 2020. That year, Embracer Group acquired the studio for €0.9 million ($1.06 million). In 2023, the company moved away from its "current heavy-investment-mode" to become a "highly cash-flow generative business," a period that resulted in multiple layoffs and divestments, Embracer and Vermila split ways.

Blumhouse Games, the video game division of the film production company, announced its role as publisher in 2024. As Carrasco told Game Developer during last year's Tokyo Game Show, before signing with Blumhouse, the studio struggled to pitch its Spanish-facing project without compromising its identity.

"Accepting certain fundings is dependent on the current situation of a studio and the state of a project," Carrasco said. "In many cases, they can turn your game into something much more generic or simplified that is drowned in a sea of projects with a similar style or genre. But perhaps that publisher makes the most sense and, well, if you have the financial need and don't have the money to stay afloat, then you have to start making decisions that oppose your artistic goals."

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About the Author

Diego Argüello

Contributing Editor, News, GameDeveloper.com

Diego Nicolás Argüello is a freelance journalist and critic from Argentina. Video games helped him to learn English, so now he covers them for places like The New York Times, NPR, Rolling Stone, and more. He also runs Into the Spine, a site dedicated to fostering and supporting new writers, and co-hosted Turnabout Breakdown, a podcast about the Ace Attorney series. He’s most likely playing a rhythm game as you read this.