Subnautica 2 Legal Dispute Resolved as Formerly Fired CEO Steps Down Voluntarily

The lengthy and complicated legal dispute over Subnautica 2 between Unknown Worlds and Krafton has finally reached a resolution. As part of the settlement, Krafton will fulfill its commitment to pay all promised bonuses to employees, and Unknown Worlds’ CEO, Ted Gill, who was dismissed last year by Krafton but later reinstated through a court ruling, is stepping down.

Reports indicate that Krafton and Unknown Worlds have settled a legal battle that began last summer after Krafton terminated Gill along with studio co-founders Charlie Cleveland and Max McGuire, alleging they were not fulfilling their roles. The trio subsequently filed a lawsuit, claiming their dismissal was a tactic to delay the release of Subnautica 2 and avoid a hefty $250 million bonus.

In March, a judge ruled that Krafton must reinstate Gill as CEO, allowing him to regain control over the launch of Subnautica 2. It was also revealed that Krafton’s CEO sought legal advice from ChatGPT, which did not yield favorable results. Subnautica 2 launched in May and became a significant success, ensuring that the developers would receive the substantial bonus tied to the game’s performance. However, Gill’s departure is part of the conclusion of this legal saga.

Gill stated that “new leadership is the best way for the studio to move forward” and mentioned that he “mutually agreed to part ways” with the studio.

The settlement guarantees that all current employees of Unknown Worlds will receive a substantial bonus due to the success of Subnautica 2, distributed in three annual payments. Initially, only those who were employed when Krafton acquired the studio in 2021 were set to receive bonuses.

Both Krafton and Unknown Worlds are now on the lookout for a new CEO, with a preference for candidates from outside either organization.