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Dune: Awakening Developer Funcom Announces More Layoffs and a New CEO

Funcom is entering another difficult period. On October 14, 2026, the studio behind Dune: Awakening and Conan Exiles confirmed a restructuring involving layoffs and a change in leadership. The announcement, covered by PC Gamer on October 17, comes only weeks after Dune: Awakening launched on consoles. Funcom says it remains committed to developing both survival games, but acknowledges that it can no longer maintain the organization required during its largest project's peak production phase.

By Hugat Dune: Awakening
Dune: Awakening Developer Funcom Announces More Layoffs and a New CEO

Funcom Is Reducing Staff After Dune: Awakening's Launch Cycle

Another wave of layoffs has reached the games industry, with Funcom officially confirming that its workforce will be reduced.

In an October 14 statement, the Norwegian company announced a restructuring that will concentrate resources on the long-term operation, development and expansion of Dune: Awakening and Conan Exiles.

The story received further coverage over the weekend, including a PC Gamer article published October 17.

Funcom has not disclosed the number of employees affected.

The company says it will withhold additional details until the process is complete out of respect for the people involved.

Any specific layoff total circulating without reliable confirmation should therefore be treated cautiously.

The Peak Development Organization Is No Longer Sustainable

Current CEO Rui Casais describes Dune: Awakening as the largest project Funcom has ever undertaken.

The game required substantial development resources across multiple studios over several years.

Those resources supported the initial production period, the PC release and subsequent console versions.

However, the company believes that phase has now concluded.

Following the PlayStation 5 and Xbox Series X|S launches in September, Funcom is shifting toward ongoing content development and live operations.

Casais explains that this requires a different organizational structure.

The company says it cannot sustain the workforce and arrangement needed during peak production.

Consequently, some of the people who helped create Dune: Awakening will not remain at Funcom.

How Many Jobs Are Being Cut?

The precise figure remains unknown.

Funcom confirms layoffs but has not published a headcount.

Norwegian outlet PressFire reports that some quality-assurance functions may be affected.

That information is separate from the company's official statement.

A complete list of affected departments and locations has not been released.

Funcom says it intends to handle the process with respect and transparency.

However, the available announcement does not establish the specific support measures, potential redeployment opportunities or consequences for individual employees.

Rui Casais Is Leaving After 22 Years

The restructuring also brings a major leadership change.

Rui Casais will leave Funcom by the end of 2026 following the transition.

He joined the company in 2004 as an AI programmer on Age of Conan.

He became Chief Technology Officer in 2008 before taking over as CEO in 2015.

His leadership included the commercial growth of Conan Exiles, Funcom's acquisition by Tencent and the development of Dune: Awakening.

Casais describes the transition as a natural moment to step aside following a period of expansion and major production projects.

The announcement does not establish that he has personally been dismissed.

Scott Junior Will Take Over

Funcom has named Scott Junior, its current Chief Product Officer, as the next CEO.

Junior has spent 25 years at the company.

His experience includes operations and development work involving Conan Exiles, The Secret World and Age of Conan.

He also served as Executive Producer on Dune: Awakening.

His background is closely associated with games that continue evolving after release.

That experience fits the company's announced priorities.

Junior will formally take over following the transition, although no exact appointment date has been disclosed.

Dune: Awakening Only Recently Arrived on Consoles

The timing may seem surprising.

Dune: Awakening launched on PC in June 2025 and reached PlayStation 5 and Xbox Series X|S on September 22, 2026.

The console release coincided with major changes to the game.

Funcom introduced a complete single-player mode and expanded customization options.

PvP became optional for the main experience, while the Deep Desert gained separate PvE and PvP environments.

Progression, penalties and parts of the endgame were also reworked.

These features are already available and belong to the September update.

They are not new additions announced as part of October's restructuring.

The latest announcement concerns the workforce and organization needed to support the game over time.

A Million Copies Sold in Two Weeks

Dune: Awakening's commercial history is not simply a story of difficulty.

The game sold one million copies within two weeks of its original PC launch.

That made it Funcom's fastest-selling game at the time.

The initial release attracted considerable attention around survival on Arrakis, sandworms and base building.

Concurrent player numbers subsequently declined.

Some community criticism focused on PvP and the structure of the endgame.

Funcom gradually adjusted those systems, ultimately introducing options focused more heavily on solo and PvE play.

However, declining concurrent player counts do not automatically establish that Dune: Awakening is financially unsuccessful.

The company has not supplied a complete financial breakdown of its revenue, costs and margins.

Conan Exiles Is the Other Major Priority

The second pillar of Funcom's new strategy is Conan Exiles.

The survival game entered early access in 2017 and reached full release in 2018.

According to Funcom's October statement, the game recovered its development budget five days after its original launch.

The company describes it as one of its most profitable and most-played games.

In 2026, Conan Exiles received an Enhanced edition and further content updates.

The Legacy of the Giant-Kings storyline continues to roll out in stages.

Its second installment arrived on October 6.

Funcom intends to continue expanding the game rather than placing it into basic maintenance.

The strategy allows the company to build on an established community and years of experience operating a survival game.

Will Other Funcom Games Be Canceled?

Funcom has announced a narrower operational focus, but has not published a list of canceled projects.

It would be premature to claim that any particular unannounced game has been canceled or that every other company activity is ending.

In an earlier interview, Chief Creative Officer Joel Bylos indicated that Funcom was not ready to begin production on a new game.

That position is consistent with a period focused on existing releases.

It is not proof of a specific cancellation.

Postponing a new project, reducing investment and formally canceling a game are distinct decisions.

Does This Mean Dune: Awakening Is Ending?

No. The official announcement states the opposite.

Funcom says it intends to keep developing Dune: Awakening for years.

The company makes the same commitment to Conan Exiles.

There is no announcement of an imminent server shutdown or end-of-service schedule.

However, that commitment does not establish the exact pace of future updates.

Funcom has not detailed the number of developers who will remain assigned to each game.

Players therefore cannot infer a precise expansion schedule from this statement alone.

Another Restructuring Following Layoffs in 2025

This is not Funcom's first round of layoffs.

The company also reduced staffing in October 2025, several months after Dune: Awakening's original PC release.

The latest announcement shows that its organization is continuing to change despite the console launch and major updates.

However, the full financial and organizational causes of the successive reductions cannot be established without additional internal information.

Funcom's stated explanation centers on the transition from intensive production toward long-term operations.

A Future Centered on Two Games

Funcom has reached a significant turning point.

The company retains two active survival games, an established catalog and extensive experience developing and operating online worlds.

But it will now work with a smaller organization and new leadership.

Scott Junior will inherit responsibility for keeping Dune: Awakening and Conan Exiles relevant over time.

For players, neither game has been given an end-of-service date.

For the employees affected, however, the restructuring has immediate consequences.

The final number of job losses and the detailed organizational changes remain unknown.

October 14 was not an announcement of Funcom's disappearance. It marked a major organizational transition and raised an important question: how will the company continue developing two major survival games after reducing the workforce that helped build them?