Starbreeze Cancels D&D Co-op Project Baxter, Shifts Team to Payday — Some Staff Face Layoffs

Starbreeze has canceled its co-op Dungeons & Dragons project, codenamed *Project Baxter*, and will shift resources back to its Payday franchise. The studio said the move is part of a strategic refocus and that some team members will be reassigned while others may leave the company.
What was announced
On Thursday, Starbreeze confirmed it has discontinued Project Baxter. In the studio’s announcement, CEO Adolf Kristjansson said, “This was a difficult but necessary decision.” The statement framed the cancellation as part of a plan to concentrate on the Payday series.
About Project Baxter
Project Baxter was publicly revealed in 2023 and was slated for a 2026 release. At the time it was originally announced to *feature the signature game cornerstones* of the studio: co-op multiplayer, a “lifetime commitment” as a service game, and community engagement. However, Starbreeze shared only limited updates since that reveal; the studio did post concept art and an in-engine still on Instagram about a year after the announcement.
Staff and reassignments
According to the announcement, part of the Baxter team will be moved to other projects, mostly within Payday development. Yet, the company also acknowledged layoffs may occur. The statement reads, “Where internal opportunities are limited, Starbreeze will provide active support for affected employees to transition to new roles across the industry.”
Payday and business reasoning
Starbreeze said it is *doubling down* on Payday. Kristjansson added, “We are doubling down on what our players love – and what we do best – owning the heisting genre.” This follows Payday 3’s 2023 launch, which reportedly fell short of sales expectations. Thus, the studio is choosing to prioritize the franchise it says aligns with its strengths.
Related D&D news
For D&D players looking for video game options, Larian’s Baldur’s Gate 3 recently gained a native Steam Deck build, making the game more portable. Additionally, the director behind the Star Wars Jedi games is working on an untitled AAA D&D project, though that title is likely several years away.