Planetside 2 development in jeopardy with parent company's "wind-down" plans

Planetside 2 is an MMOFPS whose future became very uncertain when Enad Global 7 (EG7), Toadman Interactive's parent company, recently announced plans to “wind down” Toadman’s operations. Toadman is the studio responsible for the development of Planetside 2 after it was sold off last year.

In this article, we have shared everything we know so far about EG7’s decision and the future of Planetside 2 following the changes on Toadman Interactive.

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EG7’s wind-down plans of Toadman Interactive throws Planetside 2 into limbo

The studio is shutting down because it is unable to generate enough profits (Image via Daybreak)

EG7’s decision to wind down Toadman Interactive stems from the studio’s inability to secure new Work-for-Hire (WFH) contracts at the necessary pace. Despite cost-cutting measures implemented in 2024, Toadman remained unprofitable amid persistent industry challenges.

The closure is part of EG7’s long-term strategy to optimize costs and build a more sustainable business. Shutting down studios to cut costs has become quite a trend in the gaming industry.

According to EG7:

"The wind down of Toadman is expected to result in a non-recurring restructuring reserve"

Starting in the second half of 2025, EG7 expects annual operating costs to reduce by SEK 46.5 million. These changes are predicted to positively affect pre-tax profits and operating cash flows while having a limited impact on the group’s balance sheet.

The wind-down will affect 69 employees and subcontractors. Of these, 42 employees will remain temporarily to complete existing WFH contracts with Daybreak and Cold Iron before their eventual departure.

Toadman’s ongoing WFH contracts with Daybreak and Cold Iron will continue during the transition period. One confirmed project is a multiplayer action shooter developed by Cold Iron, based on a major global IP and scheduled for release in 2025.

This decision may save EG7 some money but it will put Planetside 2 in limbo (Image via Daybreak)

Toadman has also been working on PlanetSide 2 since taking over development less than a year ago. During this time, the team engaged with the game’s community by soliciting feedback and planning gameplay overhauls. However, the future of PlanetSide 2 remains unspoken and uncertain in light of Toadman’s closure.

While EG7 remains optimistic about its broader strategic goals, the closure of Toadman Interactive leaves PlanetSide 2 in limbo. With the game’s development team disbanding and no official word on its future, all we can do is wait and see what happens with the title.