Creators of Subnautica 2 Accuse Publisher of Damaging Game's Launch

A legal confrontation has emerged between the makers of Subnautica 2 and its publishing entity, Krafton. The developers accuse Krafton of intentional hindrance to avoid a $250 million bonus payment.

Former Executives File Lawsuit

Ex-leaders Ted Gill, Charlie Cleveland, and Max McGuire from the developer Unknown Worlds have initiated legal proceedings against Krafton. They allege that Krafton obstructed the early access rollout of Subnautica 2 to sidestep paying a substantial promised bonus.

The lawsuit argues these actions have caused significant damage to fan interest and jeopardized the game's launch potential.

Background on the Earnout Agreement

A financial earnout was pledged by Krafton, not only to the executives but also to around 100 other developers, contingent on meeting revenue targets by the close of 2025. Subnautica 2's intended late 2025 early access debut was critical to achieving those targets.

Filed in Delaware's chancery court, the lawsuit indicates Krafton was aware of the game's potential to reach or surpass these financial goals but allegedly took measures to prevent this from happening.

Allegations of Obstruction

The complaint outlines a shift in Krafton's stance after a strategic meeting involving their US and Korean staff. Subsequently, employees in the US who liaised closely with the Subnautica 2 team reported a noticeable change in Krafton's priorities. Their focus had apparently shifted to persuading Unknown Worlds to postpone the game's release.

According to the lawsuit, staff disclosed that Krafton was searching for contractual loopholes to possibly terminate the developers if they went ahead without delaying the game.

Contractual Obligations and Allegations

Details from the 2021 acquisition of Unknown Worlds by Krafton involve significant agreements. These included the stipulations that the original founders would retain governance over the company's operations and the timing of Subnautica 2's release. It was also indicated that Krafton would refrain from obstructing development or firing founders without justified reasons.

The lawsuit presented claims that Krafton violated these terms by curtailing marketing and localization support for Subnautica 2.

Further Developments

Amidst the controversy, Krafton was accused of purposefully delaying the game to escape the hefty financial payout. In a notable meeting, Krafton's CEO purportedly admitted that an untimely release could lead to severe financial loss and embarrassment.

As the narrative unfolded, reports suggested Krafton agreed to extend the bonus timeline due to the game's postponed launch, contradicting earlier firm denials that any delays were unrelated to refining the game's quality.

Internal Docs and Public Response

Leaked internal documents surfaced online, revealing intended content for the game's initial launch and adjustments made to meet deadlines. Krafton acknowledged these documents' authenticity, insisting on the need for open communication to argue the game was unready for its initial release.