Studio Upheaval and Mass Layoffs Cast Shadow Over Long-Awaited MMO Ashes of Creation

By Michael Turner | Senior Markets Correspondent

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The ambitious, crowd-funded MMORPG Ashes of Creation faces an existential crisis after a dramatic leadership exodus at Intrepid Studios. The studio's founder and creative director, Steven Sharif, resigned this week, citing an irreconcilable ethical conflict with the company's board, a move that precipitated the resignation of much of the senior team and subsequent mass layoffs.

In a statement shared on the game's official Discord, Sharif expressed his dismay, stating control of Intrepid Studios had shifted and the Board began directing actions he "could not ethically agree with." His departure triggered a chain reaction. "Following my resignation, much of the senior leadership team resigned," Sharif wrote. "Following those departures, the Board made the decision to issue WARN Act notices and proceed with a mass layoff."

The human cost is already apparent. Former Director of Communications Margaret Krohn, in a LinkedIn post announcing her departure, somberly noted, "Personally, I don't know how they would make it when the heart and soul of the product, the amazing dev team, was all laid off." Senior Environment Artist Adam Anthony stated simply, "With the closing of Intrepid Studios, I am now currently looking for work."

The news deals a heavy blow to a community that has waited years for the game's vision to materialize. Ashes of Creation, promising a reactive, player-driven world, raised over $3.27 million on Kickstarter in 2017, far surpassing its initial goal. It entered Steam Early Access in late 2025 but has struggled, currently holding "Mostly Negative" recent reviews—a rating exacerbated by a flood of negative feedback following the layoff news.

Sharif indicated his "next action will be a public filing," promising more clarity on the situation in time. He urged patience, acknowledging the difficulty of staying quiet during legal proceedings. The crisis emerges just days after the development team issued a letter to fans addressing performance and bug issues, asserting their commitment to the ambitious project.

Community Voices:

Liam Carter, 34, Backer & Guild Leader: "This is heartbreaking. We invested not just money but years of hope. Sharif built the vision; if he's gone, what's left? It feels like the soul of the project has been ripped out overnight."

Dr. Anya Sharma, 41, Game Studies Professor: "This underscores the perennial volatility of high-budget, community-funded game development. The power struggle between visionary founders and board-level governance often remains the biggest risk to a project's survival, more than any technical hurdle."

Marcus "Grudge" Bell, 29, Streamer & Critic: "A $3.27 million Kickstarter, eight years of development, and it ends like this? 'Ethical differences' is corporate speak for a meltdown. The board canned the team, and Sharif's noble exit speech doesn't save 100 jobs. The backers and staff deserve a full, ugly truth, not legal posturing."

Rebecca Choi, 27, Former QA Tester (Contract): "The mood had been tense for months. You could feel the direction shifting. It's devastating for my friends who gave their all, but sadly, not shocking in this industry."

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