2K have laid off an unspecified number of staff at Cloud Chamber, amid efforts to rework BioShock 4. These cuts come at the same time former Diablo lead Rod Fergusson joins as Cloud Chamber’s new studio head, taking up the position recently vacated by Kelley Gilmore.
A report from Bloomberg earlier this month revealed that the game had failed an internal progress check. Gilmore and creative director Hogarth de la Plante reportedly moved into different jobs as part of a resulting leadership shakeup. Despite all of this, Take-Two CEO Strauss Zelnick has insisted, amid chatting some nonsense about great being the new great, that the game will still make it to release.
That brings us to yesterday, when Bloomberg’s Jason Schrier reported that Cloud Chamber were letting folks go as they announced Fergusson’s impending arrival. IGN report that 2K haven’t said how many employees have been affected by the cuts, while publishing part of an email to staff from 2K president David Ismailer that aims to explain the reasoning behind them.
“Work on the next BioShock game has been underway for several years,” it reads. “While we’re excited about the foundational gameplay elements of the project, we’ve made the decision with studio leadership to rework certain aspects that are core to a BioShock game, and in doing so are reducing the size of the development team to focus on this work and give the game more time in development.”
BREAKING: BioShock 4 developer Cloud Chamber is laying off an unspecified number of staff.
Also, former Diablo boss Rod Fergusson is taking over as Cloud Chamber’s new studio head. More than a decade ago, he joined the troubled BioShock Infinite and helped salvage that game’s production.
— Jason Schreier (@jasonschreier.bsky.social) 19 August 2025 at 16:18
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The email reportedly concluded with Ismailer describing the multiple people losing their livelihoods and the hiring of one guy as making for a “day of mixed emotions”, before going full exec rah-rah speech about the state of BioShock. “These changes are rooted in 2K’s firm confidence in BioShock as one of the most beloved franchises, and our commitment to deliver the best game in franchise history,” he declared.
I’ve reached out to 2K for comment.
As for what the future looks like for BioShock 4, it’s clear why 2K have gone for ex-Blizzard man Fergusson. The veteran developer was previously brought in at Irrational games to help get 2013’s BioShock Infinite out of the door, having done the same for the likes of Gears of War.
Best of luck to the staff Cloud Chamber have let go.