Subnautica 2 publisher Krafton has officially responded to a lawsuit initiated by the game’s former project leads, doubling down on previous statements alleging they had abandoned the project, leading to a delay, and the loss of a promised payout.
The Subnautica 2 saga so far
In July 2025, it emerged that Subnautica 2 had become the subject of tense legal drama, as the leadership of studio Unknown Worlds was replaced, and the game’s early access date was delayed from 2025 to 2026. At the time, Krafton stated this was due to feedback from the game’s community, and to reinforce the game’s direction.
But media reports flagged that the delay would have a larger impact: it would allegedly prevent a USD $250 million bonus from being paid to the game’s development team. Following media reports of this discovery, Krafton claimed 90% of the payout would’ve gone to Unknown Worlds’ senior leadership. It also accused these leaders of ‘betraying’ fans and abandoning responsibilities in a statement alleging ‘the absence of core leadership has resulted in repeated confusion in direction and significant delays in the overall project schedule.’
In response to these claims, former Unknown Worlds leader Charlie Cleveland announced a formal lawsuit was being lodged, to help deal with the ‘explosive and surreal’ circumstances of Krafton’s moves.
‘Suing a multi-billion dollar company in a painful, public and possibly protracted way was certainly not on my bucket list,’ Cleveland said. ‘But this needs to be made right. Subnautica has been my life’s work and I would never willingly abandon it or the amazing team that has poured their hearts into it.’
Now, in a defendant’s statement shared by IGN, Krafton has clearly outlined its stance, alleging that Cleveland and his fellow leaders ‘resorted to litigation to demand a multimillion-dollar payout they haven’t earned.’
‘Cleveland and McGuire abandoned their roles as studio-wide Game Director and Technical Director to focus on their personal passion projects and quit making games for Unknown Worlds entirely,’ Krafton alleges. ‘And Gill, who remained, focused on leveraging his operational control to maximise the earnout payment, rather than developing a successful game.’
Krafton further alleges that Unknown Worlds’ leaders had failed to deliver on expectations, and blamed others for a lack of progress. It’s alleged that Krafton instructed the team to return to their duties and ensure Subnautica 2 would be ready for its early access launch in 2025, but this request was declined. There are further allegations that the group threatened to self-publish the game instead, and that confidential information was downloaded from the studio.
It appears there’s a long path ahead for this lawsuit, with Krafton and the ex-leadership team of Unknown Worlds sharing conflicting reports about the events leading up to Subnautica 2‘s delay, and the eventual dissolution of studio leadership. For now, it’s best to watch developments closely, as the case advances through its next stages.
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