KRAFTON has released a statement addressing significant delays to Subnautica 2, directly pointing fingers at the game’s former leadership team. According to the company, which acquired developer Unknown Worlds in 2021, original game director Charlie Cleveland and technical director Max McGuire essentially abandoned their roles on the highly anticipated underwater survival sequel.
The company alleges that following the commercial disappointment of their previous title, Moonbreaker, KRAFTON requested that Cleveland fully focus on Subnautica 2’s development. Instead, Cleveland reportedly dedicated his time to developing a personal film project, identified as a low-budget Christmas comedy, which featured poorly received AI-generated promotional materials.
KRAFTON made multiple requests to Charlie and Max to resume their roles as Game Director and Technical Director, respectively, but both declined to do so,” states the official release. This leadership vacuum apparently caused confusion, lack of direction, and insufficient content for the planned Early Access launch originally scheduled for early 2024.
In response, Charlie Cleveland shared his own perspective on Twitter, calling the situation “deeply sad” and denying claims that he abandoned the project.
The financial stakes in this dispute are substantial. KRAFTON revealed that a performance-based “earn-out” bonus of up to $250 million was part of the original acquisition deal, with a staggering 90% allocated to just three former executives. With their removal, the majority of these funds will not be distributed as originally planned.
KRAFTON has promised “fair and equitable” compensation for the remaining Unknown Worlds staff and reaffirmed its commitment to the development of Subnautica 2, despite the setbacks. The company expressed a “profound sense of betrayal” in what has become an unusually public airing of internal studio conflicts.
The situation is similar to other major creative disputes in the industry, such as the split between ZA/UM and the original creators of Disco Elysium, or the messy separation between Id Software and composer Mick Gordon. These public breakups often lead to legal battles and uncertainty for beloved game franchises.
Swimming in deep legal waters
The public nature and specificity of KRAFTON’s statement is remarkable in an industry that typically handles internal disputes behind closed doors. The detailed allegations could expose both parties to legal action, especially considering the career-damaging claims and massive financial implications for the former executives.
Subnautica fans are now wondering about the future of the sequel to the beloved underwater survival game, which has sold an estimated 10 million copies since its 2018 release. KRAFTON maintains that development continues, though the early access release has been “substantially delayed” with no new timeline announced.
