Ashes Of Creation Dev Details $3.2 Million Kickstarter Studio’s Shocking Collapse: ‘None Of Us Are Receiving Our Final Paychecks’

On January 29, Ashes of Creation maker Intrepid Studios was promising big updates to the recently launched, long-awaited fantasy Steam MMO. Less than a week later, the game has been review-bombed, removed from Valve’s storefront, and seen all of its developers suddenly fired, according to a new post from the studio’s communications director.

“I waited until today to share this because I wanted to be sure I was communicating from a place of clarity,” Intrepid Studios head of marketing Margaret Krohn wrote on X on Tuesday. “Intrepid Studios has shut down in a way that I did not expect. What I can share is what I experienced. On January 28, toward the end of the workday, I was informed that we would be laying off 100 developers. I was devastated – these are hardworking people who were going to lose their jobs. Still, I believed it was something we could face together and find a path forward from.”

I waited until today to share this because I wanted to be sure I was communicating from a place of clarity.

Intrepid Studios has shut down in a way that I did not expect. What I can share is what I experienced.

On January 28, toward the end of the workday, I was informed that…

— 𝕸𝖆𝖗𝖌𝖆𝖗𝖊𝖙 𝕶𝖗𝖔𝖍𝖓 🌱💕 (@MargaretKrohn) February 3, 2026

That was the day before an unsigned “director’s letter” was posted to Ashes of Creation‘s players promising a February 13 update on the game’s roadmap for the first few months of 2026. But according to Krohn, the mass firings at the studio were already moving forward. She said she received confirmation of which members of her team would be laid off by the end of day on January 29, and the remaining employees began working on “ways to move forward” the following day. But by January 31, it became clear that no one at the studio was safe. 

“On January 31, we were all informed via a confusing email that we would be laid off, along with a WARN notice,” she wrote. “It is still shocking. The entire studio gathered to try to understand what had happened and what it meant for our future. In the end, none of us are receiving our final paychecks, the 60 days notice and pay outlined under the WARN Act, PTO payouts, or other compensation owed.”

That’s the same day that Ashes of Creation director Steven Sharif announced on Discord he was no longer in control of the company and was resigning in protest. “I can make a limited statement in my personal capacity and not on behalf of the company, regarding the situation,” he wrote on January 31. “Control of the company shifted away from me, and the Board began directing actions that I could not ethically agree with or carry out. As a result, I chose to resign in protest rather than lend my name or authority to decisions I could not ethically support.”

Valve / Intrepid Studios

That was the first public mention of the turmoil Intrepid was facing and it immediately ricocheted across Steam, where Ashes of Creation entered Early Access back in December, and Kickstarter, where backers raised $3.2 million to bring the MMORPG to market starting way back in 2017. The game was quickly review-bombed on Valve’s storefront with warnings to other players to stay away of what soon might become a dead game, while backers on Kickstarter demanded refunds over the game never hitting a proper 1.0 launch. It’s since been removed from sale completely on Steam. 

“What matters most to me now are the people – both the players and developers,” Krohn wrote today. “To the players: the entire development team was working extremely hard, pulling long hours, and wishes with all our hearts that we could give you Ashes of Creation. There are no words that fully express how sorry we are that this journey ended this way. You should pursue a refund, you deserve it. To my colleagues: this team is truly a family. The culture we built together is something I have never experienced anywhere else. In the midst of heartbreak and uncertainty, we have come together to review resumes, help with portfolios, share job leads, and support one another emotionally.”

As of now, it’s unclear who remains in control of Intrepid Studios as a company, which is based out of San Diego, or what will happen to Ashes of Creation, whose potential for a comeback seems increasingly unlikely. Who funded the game’s development? How did the studio’s finances suddenly get wiped out overnight? And what recourse do developers who worked on it have to be made whole? Kotaku tried reaching out to the studio’s email address but we haven’t heard back. Sharif declined to comment before clearing it with his legal counsel.

When we reached out to Krohn she responded with the following: “I made my statement. I can’t really talk more than that, I think I might have even said too much as is, but people need to know what happened.”