After making layoffs earlier this year, Avalanche co-founder’s new studio Liquid Swords teases its first game
A brief teaser video suggests the Netease-funded studio’s project is still making progress

Liquid Swords, the NetEase-backed studio formed by ex-Avalanche Studios co-founder Christofer Sundberg, has shown a brief teaser of its first game.
Back in February, the studio announced that it was making a round of layoffs, with Sundberg saying the company was in “a deeply regrettable position”.
Eight months later, however, Liquid Swords has now posted a brief 10-second clip showing a gritty city environment, suggesting the project is still making progress.
“Hope moved out. Violence pays the rent. Get comfortable,” the accompanying cryptic message reads, along with the hashtag #Game1.
Although the video doesn’t give much away, it does further cement the studio’s previous claim that the game will be “a hard-boiled take on the open-world crime genre”, building off Sundberg’s experience as co-founder of the studio behind the open-world Just Cause series.
It also serves as a statement that development on the project is still progressing despite the layoffs Liquid Swords made in February.
Hope moved out. Violence pays the rent. Get comfortable.
#LiquidSwords #Game1 pic.twitter.com/f42FK0uDsV— Liquid Swords (@LiquidSwords) October 28, 2025
At the time of the layoffs, Sundberg stated: “We are in a deeply regrettable position, with no choice but to begin the formal process of parting ways with some of our talented team members. This is in no regard a reflection of their skill, dedication, or the work we’ve accomplished together. We are supporting all employees through this transition, working with unions, and reaching out to industry partners to help those affected find new opportunities.
“While we navigate these challenges, we look ahead with the same ambition and creative drive that built this studio. Our remaining team will continue the development of #Game1, and as we move forward, we will explore new opportunities to strengthen and ensure long-term success.
“Liquid Swords lives on. The road ahead may be challenging, but our vision remains unchanged – to create exceptional gaming experiences for players.”
Sundberg’s former studio Avalanche has been experiencing its own challenges, confirming in August that “active development has stopped” on Contraband, the ’70s-themed co-op open world game originally announced during E3 2021.














