One of the most depressing events that are happening in the video game industry today is the rumored bankruptcy of one of the most legendary video game developers, Crytek. Crytek has been known for their “CryEngine” which authored a lot of awesome video games that we are playing today such as Crysis, FarCry and Ryse.
Crytek has some issues regarding paying its staff on time. Recent sources say that the company might be on the verge of bankruptcy as more of its staff were not paid in full or not paid at all. A recent report from a German game magazine ?GameStar? claimed that Crytek has been experiencing financial difficulties and the development of Xbox One exclusive Ryse: Son of Rome has been a flop. Though Crytek headquarters in Frankfurt denied the allegations that they are on the verge of bankruptcy, the company has been bleeding staff recently. It is obvious that scavengers are closing in and they would pick up any of Crytek?s most talented developers or take over the entire company.
Even though Crytek is a big, independent, game developer company; if publishers withdraw, it takes a big slice out of the developer?s budget. Crytek survives by taking huge contracts from big publishers such as EA and Microsoft. The most probable solution that would happen is to turn it over to ?new management. And it seems somebody already has their eyes on the company.
According to anonymous sources, the top bidder is the World of Tanks developer, Wargaming.net. But Crytek?s public comments denied pretty much everything and made a statement.
?Regardless of what some media are reporting, mostly based on a recent article published by GameStar, the information in those reports and in the GameStar article itself are rumors which Crytek deny,? said the Crytek spokesperson.
?We continue to focus on the development and publishing of our upcoming titles Homefront: The Revolution, Hunt: Horrors of the Gilded Age, Arena of Fate, and Warface, as well as providing ongoing support for our CryEngine and its licenses.?
Employees say that it is an issue of miscommunication.