The Chinese Room, the studio behind Still Wakes the Deep and the upcoming Vampire: The Masquerade – Bloodlines 2, has officially regained its independence after several years under Sumo Digital and Tencent. The deal was penned with London and Luxembourg-based VC firm Hiro Capital, which enthused about the studio’s roots in the United Kingdom.
As Hiro Capital shared in a press release (via IGN), The Chinese Room is a ‘huge British success story’ that’s been recognised on the world stage. Not only did it begin as a mod team based in Brighton, England, it has continued to hire British game developers, while also developing games inspired by the UK and its surrounds.
‘They’ve been one of our foremost creative studios and now they are once again in charge of their own destiny while remaining British,’ Spike Laurie, a partner at Hiro Capital said. ‘We are at risk of overlooking these creative gems and letting them be sold to overseas corporations … That is a travesty for the [US] $5.5 billion British gaming industry which has a world-renowned reputation. We need to nurture this talent and support it through difficult times, because it is one of our leading creative exports.’
Sumo Digital, the company’s previous owners, are also based in England, but in 2022, the company was purchased outright by China-based conglomerate, Tencent.
The Chinese Room departs Sumo Digital after business shifts
The Chinese Room’s departure from Sumo Digital felt somewhat inevitable, following the publisher’s announcement in February 2025 that it would shift to focus exclusively on ‘development services for partners’ rather than original IP or more creative works.
At the time, the publisher confirmed ‘this transition [would] have an impact on [its] studios and people.’
This decision placed many studios in limbo, surrounded by questions about what would happen, and whether they would be shut down. At the very least, it appears The Chinese Room has escaped intact – although the team did recently confirm there were some layoffs to make the studio’s new independence viable.
‘Following the divestment process a number of roles were regrettably made redundant,’ a spokesperson told Game Developer. ‘The specifics are confidential but the studio is currently 55 developers. This was a very difficult process as we sought a future for the studio outside of Sumo. No more layoffs are planned as the studio moves forward.’
As for the other studios under Sumo Digital, it’s unclear what happens next. It appears The Chinese Room is in a relatively privileged position, regaining independence and the ability to work on new creative projects, buoyed by a brighter future. We’ll likely hear more from other studios under the Sumo Digital banner in future.
‘This management buyout allows us to scratch the creative itch of continuing to work on new, original intellectual property, but also to partner with other studios on other projects when they fit in with our vision,’ Ed Daly, studio director said. ‘This is what we are doing and we want to carry on doing it, so we’re happy to carry on in this vein.’
Stay tuned for more on The Chinese Room, as the studio finishes up work on Vampire: The Masquerade – Bloodlines 2, and begins planning a future as an independent company once more.
Also on ScreenHub: Netflix is set to increase investment in games, despite recent restructure
Netflix has shared plans to continue its investment in video games, enthusing about the medium in a recent investor call. As first reported by GameSpot, when prompted about future developments within its gaming segment, Netflix co-CEO, president, and director Greg Peters confirmed the company is set to ‘ramp [its] investment in this area’ and that it remains excited about games on the platform.
