Update, July 24, 2025: Sandsoft has responded to clarify that its recent restructuring did not affect the entire company. Via email, a representative from the company told GamesIndustry.biz that “up to 21 employees involved in internal game development were affected.”

“The majority of Sandsoft’s global team remains in place, as we continue to focus on publishing, where we see the most potential for sustainable growth,” they continued.

Original story, July 23, 2025: Around 65 staff have been affected by closures at Sandsoft’s Barcelona and Riyadh offices.

Sandsoft, a global developer/publisher, told MobileGamer it had made “the difficult decision” to close the internal studios, adding it “deeply appreciate[s] the team’s creativity and dedication,” and is “fully committed to supporting everyone through this transition.”

“Sandsoft is doubling down on publishing, an area of our business where we’ve already demonstrated significant growth and see significant opportunities for future success,” Sandsoft CEO David Fernández said.

A spokesperson added: “This isn’t about the quality of work or talent at these studios – our teams have been incredible. It’s really about concentrating our resources where we can have the biggest impact and build sustainable growth. After reviewing our business performance over recent months, we realised publishing is where we excel and where our future lies.”

Sandsoft Games and NetEase Games announced a new partnership for the MENA (Middle East and North Africa) market back in 2022.

An estimated 4,000 developers have lost their jobs in 2025 so far, most recently via multiple cuts at EA, including Respawn, People Can Fly, Jagex, Build a Rocket Boy, and Supermassive Games. Over 9,000 additional people are also thought to have been affected by cuts Microsoft has began making layoffs across its gaming division earlier this month.