Subnautica 2, originally scheduled to launch in Steam Early Access later this year, has been delayed to 2026. The news is reportedly impacting a potential $250 million bonus for the team tied to revenue targets.
Yesterday, Bloomberg reported on the delay, which was confirmed by developer Unknown Worlds hours later. In the official announcement, the studio attributes the decision to concerns after recent playtest sessions, which “provided insight” that there were areas that needed improvement before the early access launch.
“Nothing is changing in terms of the direction of the game or the team behind it,” the statement reads. “We are confident in what we’ve created; we just want to give you a little bit more content for our first Early Access release.”
The news comes a week after the leadership team—comprised of Unknown Worlds CEO Ted Gill, Subnautica game director Charlie Cleveland, and technical director Max McGuire—exited the studio. Striking Distance Studios CEO Steve Papoutsis was ushered in as the new CEO, who is now in charge of overseeing the studio’s “overall management and creative direction.”
“While Krafton sought to keep the Unknown Worlds’ co-founders and original creators of the Subnautica series involved in the game’s development, the company wishes them well on their next endeavors,” the announcement read.
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According to sources who spoke to Bloomberg under anonymity, publisher Krafton reportedly “pushed out” Unknown Worlds’ leadership, which impacted the original release window. Last week, Cleveland wrote a farewell post on Reddit, saying that the events have been “quite a shock.” He added that he and the rest of the former leadership team knew Subnautica 2 was ready for early access. “And while we thought this was going to be our decision to make, at least for now, that decision is in Krafton’s hands. And after all these years, to find that I’m no longer able to work at the company I started stings,” the post reads. (Thanks, IGN.)
A potential bonus payout was tied to revenue targets around the original release date
At the same time, the studio was reportedly due a $250 million bonus tied to revenue targets. Bloomberg reporter Jason Schreier claimed via Bluesky that he received additional documentation on the reported earnout, saying that “ten percent of that, or up to $25M, was due to be paid to about 40 Unknown Worlds staff,” each receiving varying amounts, and “mostly six figures.” Leadership reportedly said it’d also give parts of the bonus to other employees.
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In a statement to Bloomberg, Krafton said that the decision to delay Subnautica 2 “was not influenced by any contractual or financial considerations.” The sources reportedly told the publication that the delay was “against the wishes of the studio’s former leadership.”
Reviewing the purchase agreement—Krafton acquired Unknown Worlds in 2021—the $250 million bonus was due to kick in if Unknown Worlds hit certain revenue targets by the end of 2025. Now, according to the sources, the delay makes it so the company is unlikely to hit those targets; therefore, employees may not be eligible for the payout.
According to audio of a company town hall held this week, which was reviewed by Bloomberg, Papoutsis told employees that Krafton didn’t believe Subnautica 2 was ready to be released this year, and that the delay was to add more content to it. When asked whether the delay was decided so the publisher could avoid paying the $250 million bonus, Papoutsis said he was not familiar with the specifics of the contract. He added that the details of the acquisition were beyond his current understanding at the moment, and that he was never told the delay was meant “specifically to impact any earnout or anything like that.”
Back in February, Krafton shared the news that it had delivered record revenue and operating profit during the fiscal year ended December 31, 2024. Outlining its strategy for 2025, Krafton pledged to make “aggressive” investments into its production capabilities to secure a “big franchise IP.” Last year, the company acquired Hi-Fi Rush developer Tango Gameworks months after Microsoft announced its plans to close the studio.
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Game Developer has contacted Krafton for more information on the matter.