Earlier this month, Krafton, the parent company behind Unknown Worlds, reportedly dismissed co-founders Charlie Cleveland and Max McGuire, along with former CEO Ted Gill. This move was followed by a significant delay of the anticipated game, Subnautica 2, which is now slated for a 2026 release. The contentious aftermath between the former leadership and Krafton has now escalated into a lawsuit. Cleveland has since disclosed the comprehensive details of this legal action, which alleges a multi-year strategy by Krafton to withhold a promised $250 million payment from Unknown Worlds.
The lawsuit, which has been made publicly available, accuses Krafton of deliberately attempting to undermine the early-access launch of Subnautica 2. This alleged sabotage involved refusing to carry out crucial pre-launch activities that had been previously agreed upon. Furthermore, the suit points to a specific clause in the 2021 acquisition agreement, which reportedly prohibited Krafton from terminating Unknown Worlds` leadership without just cause.
Previous reports had indicated that Krafton was obligated to disburse $250 million to Unknown Worlds, contingent upon the studio achieving certain financial milestones by 2025. The lawsuit contends that Krafton`s decision to remove Unknown Worlds` leadership was primarily aimed at preventing Subnautica 2 from being released in any capacity during 2025. This action, if successful, would effectively make it impossible for the financial targets to be met, thereby negating the $250 million payout. Consequently, the legal complaint demands that Krafton be compelled to pay the previously agreed-upon sum and relinquish creative oversight of Subnautica 2 back to the former leaders of Unknown Worlds.
In response to the lawsuit, a spokesperson for Krafton issued a statement, asserting that the company`s decisions were made “to ensure Subnautica 2 is the best possible game and lives up to fan expectations.” The spokesperson elaborated, stating that “releasing the game prematurely with insufficient content, falling short of what fans expect in a sequel, would have both disappointed the players—who are at the heart of everything Krafton does—and damaged the reputations of both the Subnautica and Unknown Worlds brands.” While expressing disappointment regarding the lawsuit filed by Cleveland, McGuire, and Gill, Krafton affirmed its readiness to defend its position in court, emphasizing its continued focus on delivering the highest quality game to Subnautica fans as swiftly as possible.
Krafton had previously released a statement accusing Cleveland and the other former leaders of neglecting their responsibilities concerning Subnautica 2`s development. Recently, a leaked document pertaining to Subnautica 2`s development appeared to corroborate Krafton`s claim that the game had not met the necessary thresholds for an early-access release. Despite this, the resolution of this complex case is expected to involve years of protracted legal proceedings.
Subnautica 2 is currently projected to be released on PC and Xbox Series X|S in 2026.