LinkedIn profiles of three former developers at Warner Bros. Games Montreal indicate that the studio behind Gotham Knights has been hit with a fresh round of layoffs. Founded in 2010 as a key subsidiary of the Warner Bros. Games portfolio, the Montreal outfit is most recognized for its work on 2013’s Batman: Arkham Origins and the 2022 co-op action title Gotham Knights. While the exact scale of the cuts remains unconfirmed by the studio, these departures signal continued instability within one of the industry’s most prominent publishers.
These staff reductions represent just the latest chapter in what has been a tumultuous few years for Warner Bros. Games. Despite the massive financial success of Hogwarts Legacy, which secured its place as the best-selling game of 2023, the publisher has struggled to maintain momentum. The 2024 release of Suicide Squad: Kill the Justice League reportedly resulted in a staggering $200 million loss for the company, forcing a drastic pivot in their long-term software strategy and leading to a string of project cancellations.
The ripple effects of these financial losses have already gutted several of Warner’s most established development houses. In early 2025, the company shuttered Multiversus and made the difficult decision to cancel its highly anticipated Wonder Woman project. Furthermore, three entire studios—Monolith Productions, Player First Games, and Warner Bros. Games San Diego—were closed down as part of an aggressive cost-cutting initiative. This latest movement at WB Games Montreal suggests that no corner of the gaming division is currently safe from the restructuring.
Compounding these internal struggles is the massive shift at the corporate level, as Warner Bros. Discovery is currently in the process of being acquired by Paramount. As the parent entity prepares for this transition, the gaming division appears to be bearing the brunt of the “right-sizing” efforts. For the developers in Montreal, many of whom have spent over a decade building the studio’s reputation, these layoffs are a sobering reminder of the volatility currently plaguing the AAA development landscape.
