Beneath the Surface, a Storm Was Brewing
The Subnautica 2 Drama — officially postponed until 2026, this sequel follows one of the most iconic underwater survival games of the decade. But surprisingly, the delay isn’t the biggest news. The true story is in the backroom chaos: a multimillion-dollar lawsuit against PUBG publisher Krafton, the dismissal of important devs, and a significant change in leadership.
It all began with a major shake-up inside Unknown Worlds Entertainment (UWE), the studio behind Subnautica. Krafton acquired the studio back in 2021. At the time, fans were hopeful and expected big things. However, three years later, drama within the development team exploded — and Subnautica 2 suffered as a result.
The Subnautica 2 Drama:
Quick Recap: From Acquisition to Legal Action
- 2021 – Krafton acquires Unknown Worlds. The deal promised stable funding and creative freedom for the team.
- Late 2023 – Development picks up speed. The goal of Subnautica 2 is Early Access in 2025. However, internal testing reportedly showed that the game wasn’t quite ready.
- Early 2024 – Krafton removes three important figures: former CEO Ted Gill, CTO Max McGuire, and studio founder Charlie Cleveland. They were replaced by Steve Papoutsis, known for his work on Dead Space.
- Cleveland and his group commence legal action against Krafton in July 2024. They claim they were unfairly terminated and that Krafton owes them up to $50 million in bonuses. Krafton, on the other hand, strongly denies these allegations.
So, What Actually Happened?
From Krafton’s perspective, Subnautica 2 simply wasn’t ready. The results from closed testing failed to meet expectations. Therefore, they argue the delay was necessary to maintain quality. The leadership change, they say, was strictly a business decision — not a personal attack.
Meanwhile, Cleveland’s version tells a different story. In a detailed Reddit post, he insisted the game was ready for Early Access. His team had just met a major milestone before being dismissed.
“We worked hard to get this game ready. And right after it was in shape for Early Access, we were removed — and we didn’t see a dime of the bonuses we were promised,” he explained.
The $250M Bonus Dispute
According to Bloomberg, Krafton’s acquisition included up to $250 million in performance-based bonuses. But here’s the twist: about 90% of that total was supposed to go to just three people — Cleveland, McGuire, and Gill.
Krafton argues this created a serious imbalance within the team. They believed such a structure was unfair and damaging to morale. As a result, they felt internal restructuring was necessary. The founders’ relationship with Krafton started to deteriorate at that point.
Community Backlash: Boycotts and Outrage
Naturally, the Subnautica community didn’t stay quiet. Cleveland’s Reddit post gained over 43,000 upvotes, showing massive support from fans. Many expressed deep frustration over Krafton’s decisions.
Some even started calling for boycotts. Some were concerned that the follow-up might shift towards a live-service paradigm, departing greatly from the exploration-first, single-player style that had made Subnautica so popular.
What Does This Mean for Subnautica 2?
Since the game’s release date has been rescheduled to 2026, fans are left wondering:
- Will the original vision survive?
- How much will the new leadership alter the core gameplay?
- Are we heading toward a co-op, microtransaction-heavy version of Subnautica?
Krafton has reassured players that the main themes of exploration and survival will remain. Still, they admit the game will include co-op features and long-term monetization plans. Depending on your outlook, that could be either exciting or worrisome.
Final Thoughts: A Glimpse Behind the Industry Curtain
This isn’t just about corporate drama. The lawsuit between Cleveland and Krafton shows the deeper conflict between creative freedom and corporate control. As more games embrace live-service and aggressive monetization models, stories like this show how easily passion can clash with profit.
Subnautica 2 might still be a fantastic game in the end. But its turbulent development already tells us something important. In game development, just like in the ocean, what lies beneath can make all the difference.
