Schell Games cuts staff for second time in three months, after August layoffs

Schell Games laid off a significant number of employees on October 30, 2026. The Pittsburgh VR studio cut staff for the second time in three months. An undisclosed August layoff ended the company's 24-year run without cuts since 2002. The studio builds both owned VR IP and work-for-hire titles like Among Us 3D.

Two cuts in three months end a 24-year no-layoffs record
Schell Games, founded in 2002, had never laid off staff until August 2026.
That August cut was reportedly the studio's first layoff in 24 years.
A second round arrived three months later, confirmed in a company LinkedIn post.
The company said the move was needed to ensure a sustainable future.

Dual business model offers no shelter from the squeeze
Schell Games operates as both an original IP studio and a work-for-hire shop.
Its own title I Expect You To Die anchors the IP side.
Its work-for-hire credit Among Us 3D was built for publisher Innersloth.
Two cuts within three months suggest pressure spans both sides of that model.
What this means
For Publishers & Developers: Lock milestone-based contracts and backup teams before signing VR co-dev with mid-size studios.
For Investors & VC: Discount work-for-hire revenue as a stabilizer in VR studio valuation models.
For Service Vendors: Pitch Pittsburgh-area recruiting and staff-augmentation using newly released senior VR talent.