Star Stable Entertainment has laid off 20% of its workforce as part of a restructuring program aimed at securing the long-term future of its multiplayer horse adventure RPG, Star Stable Online.

Interim CEO James Watkins announced the decision in a LinkedIn statement, saying "this step is necessary to secure the long-term future of Star Stable." The Stockholm-based developer did not disclose the exact number of employees affected.

Why is the studio cutting jobs now?

Watkins framed the reduction as an operational reset rather than a wind-down. "By reducing our operating costs and refocusing our resources, we are putting Star Stable in the best possible position to adapt, grow, and deliver memorable experiences for players today and for years to come," he said.

The interim CEO acknowledged the human cost of the decision. "Making this decision was incredibly challenging and does not diminish the contribution these team members have made," Watkins said.

He added that the studio's immediate priority is outgoing staff: "Right now, our immediate focus is supporting the talented colleagues who are leaving us. I want to express my sincere personal gratitude for their hard work, creativity, and dedication. We are fully committed to helping them navigate this transition with care and respect."

Who owns Star Stable Entertainment?

The restructuring comes under the ownership of Nordisk Games, the Danish investment firm that became majority shareholder in 2021 after increasing its stake in the developer.

Nordisk Games now holds 57% of Star Stable Entertainment. The firm first bought a "substantial minority" share — estimated at $17 million — in May 2018, then acquired a 40% stake later that same year.

For Star Stable Online's player base — a long-running audience built around the horse-riding MMO — the practical question is how the 20% headcount reduction affects live-ops cadence, content updates, and community support. Watkins' statement points to continued investment in player experiences, but the studio has not detailed which teams or functions the cuts hit.

No severance terms, timeline for departures, or specific department breakdowns were disclosed. The studio has also not said whether the restructuring includes changes to leadership beyond Watkins' interim role.

The next signal worth watching is whether Nordisk Games comments on the restructuring or adjusts its ownership position — and whether Star Stable Entertainment maintains its update schedule for Star Stable Online in the months following the cuts.