US EditionUS court rules against S Korean gaming company and its AI-hatched takeover plan
- Vice Chancellor Lori W. Will ruled that Krafton must reinstate Ted Gill and restore his control over Subnautica 2's Early Access release plans on March 16, 2026.
- Court findings show the publisher enacted a plan that Krafton CEO Changhan Kim led to avoid the earnout, including consulting ChatGPT during Project X and breaching the employment agreement by firing key employees without valid Cause after the July 1, 2025 Board resolution.
- Deal documents show that Krafton paid $500 million in 2021, with an earnout tied to a $69.8 million revenue threshold and $3.12 per additional dollar, projecting over 1.67 million copies sold.
- The court's ruling also extended the period to earn a $250 million payout, while Krafton told Kotaku it 'respectfully disagree with today's ruling' and is evaluating options as litigation continues.
- Nearly nine months after the July 1, 2025 firings, the ruling leaves Subnautica 2 release timing and earnout threshold unresolved while noting former employees returned downloaded studio data amid the dispute.
27 Articles
27 Articles
(Seoul = Yonhap News) Reporter Kim Ju-hwan = The dismissal of former executives at Unknown Worlds, the developer of the 'Subnautica' series, by the South Korean game company Krafton constitutes unfair dismissal...
Subnautica 2's $250 million battle continues as judge orders Krafton to reinstate fired CEO
Subnautica 2, the direct sequel to 2018's Subnautica, was first said to be in development in 2022. Fans have been awaiting its release since, but a messy legal battle involving an embattled $250 million payout pushed the game back from a planned 2025 early access release. Part of that mess involved publisher Krafton, which bought Subnautica 2 developer Unknown Worlds Entertainment in 2021, firing the studio's CEO as well as other members of its …
US court rules against S Korean gaming company and its AI-hatched takeover plan
WILMINGTON, Delaware, March 16 : A Delaware judge ordered on Monday that South Korean game developer Krafton Inc reinstate the head of one of its video game studios, ruling that he had been improperly removed as part of a takeover plan hatched by ChatGPT.Krafton's CEO Changhan Kim had largely followed the adv
Judge rules that Krafton must rehire fired Subnautica director
A judge has ruled that publisher Krafton must reinstate Ted Gill as CEO of Unknown Worlds Entertainment, according to a report by Bloomberg. The company fired Gill and two other co-founders last year as part of a shakeup involving the long-anticipated sequel Subnautica 2. The Delaware judge said Krafton had violated the terms of its contract with Unknown Worlds when it fired the executives. "To remedy these breaches, Gill is reinstated as CEO of…
Coverage Details
Bias Distribution
- 50% of the sources lean Left
Factuality
To view factuality data please Upgrade to Premium
