Sources Report Funko Fusion Devs Suffer Layoffs After Game Flopped
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- 10:10 Games laid off 19 employees in January, some while they were on holiday.
- Employees were promised support in finding new work, but none has been provided.
- Layoffs were attributed to the failure of Funko Fusion, with no senior staff impacted.
The studio behind Funko Fusion, a game based on the Funko Pop! toy line, reportedly laid off employees in January 2025 while they were on holiday, offering no meaningful severance packages. The news was first reported by Insider Gaming, which cited multiple sources familiar with the situation.
According to Insider Gaming’s source, in mid-January 2025, 10:10 Games development studio informed staff that 19 jobs were at risk, assuring those affected that they would be “fully supported through this process,” including help with job placement. However, sources tell Insider Gaming that no such support has been provided from the studio.
Also, according to reports, some employees were on holiday that the company had encouraged them to take when they got affected by layoffs. Despite this, they were still expected to attend consultation meetings, even if they were abroad in different time zones.
One of Insider Gaming’s sources stated, “Management seemed very keen to wrap up the process quickly, and despite saying they were fully open to suggestions and feedback, none of it has been taken on board.”
By the end of January, layoffs were finalized, and meetings concluded. Employees were told they would receive only the bare legal minimum—covering notice periods and any unused holiday pay. Given that staff had been encouraged to take holiday time before the layoffs, some suspect the company deliberately avoided larger payouts.
The layoffs stem from the commercial and critical failure of Funko Fusion, which has reportedly left the studio struggling to secure future projects. Employees were told that there “isn’t enough work to give the whole team” and that job cuts were based “entirely on the needs of the next project.” However, many former staff members believe that the next project has not been fully designed yet.
Notably, sources indicate that no senior or upper-management staff were affected by the layoffs. Studio heads Paul Flanagan and Arthur Parsons initially told employees they would take responsibility for the layoffs, but instead, a separate firm is handling public relations. As of now, the studio behind the Funko Fusion, a game based on the “Funko Pop!” toy line by Funko, has not issued an official statement in response to these developments.
