Subnautica 2 Release Date Allegedly Leaked Amid Co-Founder Dispute

Yesterday, I mentioned that Subnautica 2 was free from legal issues, but it seems I jumped the gun. The newly reinstated CEO of Unknown Worlds, the studio developing the highly anticipated underwater survival game, has accused Krafton of deliberately leaking the game’s early access release window set for May, potentially breaching a judge’s ruling in the process.

On March 19, it was reported that Unknown Worlds’ legal team sent a letter to Judge Will shortly after an internal memo from Steve Papoutsis, the executive appointed by Krafton after the 2025 layoffs, was shared with the Subnautica 2 team, announcing the May release window. Krafton later confirmed this date with various sources. However, according to the letter from the ousted co-founders and returning CEO Ted Gill, Krafton lacked the authority to make such an announcement.

Judge Lori Will had ordered on March 16 that Gill be reinstated as CEO that Monday morning, granting him sole authority over Subnautica 2’s launch plans. Therefore, when Papoutsis sent out that memo on Tuesday, he was no longer legally recognized as the CEO of Unknown Worlds.

“Krafton self-servingly announced the launch without any regard to its impact on the game, the team, or the community—let alone this Court’s Opinion,” stated Gill and the co-founders’ lawyers in their letter to the judge.

“Announcing the release of a game is a significant event, typically accompanied by extensive marketing, fanfare, and community engagement. Most importantly, this announcement is crafted to build excitement for the game. That entire process was meant to be led by Mr. Gill. However, in defiance of the Court’s Opinion, Krafton has now undermined that process, further harming the game and creating additional confusion within the Subnautica community.”

The legal team for Gill and the co-founders alleges that Krafton intentionally leaked the release date to the media and subsequently confirmed it, urging Judge Will to hold Krafton in contempt for its actions.

In response, Krafton’s lawyers sent their own letter to Judge Will, asserting that the publisher had not violated her order.

“Papoutsis’s message was merely a celebration of the [Unknown Worlds] employees’ efforts regarding a previous milestone: Krafton’s pre-Opinion decision that Subnautica 2 was ready for Early Access release. There was nothing inappropriate about sharing the results of the milestone review or expressing gratitude to the development team for their hard work,” stated Krafton’s legal team.

They further clarified that Gill, as CEO, still retains the authority to decide when to release Subnautica 2, and that “nothing in Papoutsis’s message alters Gill’s authority or discretion.”

As of now, Judge Will has not responded to either letter. Both parties are scheduled to meet later this week to propose a judgment that aligns with Judge Will’s earlier ruling. Gill’s legal team has not confirmed whether the reinstated CEO will adhere to the allegedly leaked May release date.