The Madrid-based developer Vermila Studios, creator of Crisol: Theater of Idols, has presented a redundancy plan affecting its entire workforce, as confirmed by several former employees on social media.
The video game studio Vermila Studios, based in Madrid and responsible for the recent launch of Crisol: Theater of Idols, has initiated a redundancy plan (ERE) that affects one hundred percent of its workforce. This has been indicated by several former workers on social media platforms such as LinkedIn and X (formerly Twitter).
Game designer Raúl Pernía was one of the first to highlight the situation. In a post on X, Pernía stated that Vermila has initiated an ERE that has resulted in "the closure of the studio and the departure of the entire team." Other former employees have also shared their dismissals in recent hours, showing work materials.
Vermila Studios was founded in 2020, although the prototype of its first project, Crisol: Theater of Idols, began development in 2017. In that same year, with only ten employees, the studio was acquired by the Swedish conglomerate Embracer Group.
The relationship with Embracer lasted until 2023, when the parent company initiated a major restructuring plan that led to the dismissal of thousands of workers and the closure of several studios worldwide. Vermila then separated from the group and continued independently.
In June 2024, the studio re-emerged as part of the horror game label Blumhouse Games, associated with the film production company Blumhouse Productions. Finally, Crisol: Theater of Idols, a horror shooter, was released last February 2026 for PC, PlayStation 5, and Xbox Series X/S.
The game received positive reviews for its mix of action, puzzles, and bloody atmosphere. However, just six months after its debut, the studio has announced the ERE that leaves the entire workforce unemployed.
So far, neither Vermila Studios nor Blumhouse Games have issued an official statement explaining the reasons for the closure. The news has caused shock in the Spanish video game sector, which sees how an emerging studio with a recent release is forced to close its doors.
For the affected workers, the situation is particularly tough as it is a small and specialized studio. The ERE implies the termination of all employment contracts, with no information provided about possible relocations or compensation exceeding the legal minimum.
This case adds to other closures and layoffs in the video game industry in Spain in recent months, although Vermila had managed to survive Embracer's restructuring and launch its first title.
The former employees of the studio have begun sharing their portfolios on social media, seeking new job opportunities. The future of Crisol: Theater of Idols as a commercial product remains uncertain, although already released games usually remain available on digital platforms.
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