The studio had been a critical component of Tencent‘s efforts to establish itself as a formidable game developer in the Western market. According to an insider familiar with the matter, Tencent decided to shutter Team Kaiju in June, with the affected staff members reassigned to other projects within the company.
Team Kaiju, under the leadership of experienced game designer Scott Warner, had been actively developing a high-budget multiplayer game before the closure. Scott Warner, known for his role as a director on successful titles like “Halo 4,” joined Tencent in 2020, a move that was widely regarded as a significant hire at the time. However, according to Warner’s LinkedIn account, he left Team Kaiju in April of the same year. Additionally, Team Kaiju’s website is no longer active. Tencent, based in Shenzhen, declined to comment on the matter.
This shutdown occurred as Tencent intensified its efforts to establish studios abroad and create games tailored for international markets. Earlier in the month, Tencent unveiled its most ambitious console title, “The Last Sentinel,” developed by approximately 200 people at its Lightspeed LA game studio.
Tencent is renowned for its success in developing popular mobile games, such as PUBG Mobile, which have gained immense popularity among Chinese players and are known for their cost-effectiveness in development. The closure of Team Kaiju raises questions about Tencent’s strategic direction in the highly competitive global game industry and how it aims to navigate Western markets in the future.