Intrepid Studios has shut down and laid off its entire staff without pay. The Ashes of Creation developer let go of all 250 employees on January 31, 2026, just 52 days after the MMORPG hit Steam Early Access.
Founder and Creative Director Steven Sharif resigned the same day, claiming a board of directors forced him out over decisions he "could not ethically agree with." The game has been pulled from Steam sales. Former employees say they won't receive their final paychecks, PTO payouts, or any severance.
The shutdown ends a nine-year development cycle that started with a $3.2 million Kickstarter campaign in 2017.
Kickstarter Promise
Ashes of Creation was first announced in 2016. The Kickstarter launched on May 1, 2017, hit its funding goal in one day, and eventually pulled in $3.2 million from nearly 20,000 backers.
Intrepid pitched a different kind of MMO. Player actions would change the game world directly. The studio built a "node" system where settlements could grow into towns and cities based on how players interacted with them. Complete quests, fuel the economy, and the world evolves. Different servers could end up with completely different landscapes.
The campaign offered reward tiers going up to $10,000 for the "Avatar of the Phoenix" package. Five people bought it. Those backers were promised a launch party weekend in Las Vegas, two nights at the Wynn Resort, and dinner with the dev team.
The Kickstarter page also included this line: "And finally, in the case that Ashes of Creation does not launch, we promise to refund all backers in full."
By 2018, Intrepid announced plans for a 17,000 square foot San Diego office. The studio grew from around 100 employees to roughly 250.
Sharif's Background and Early Criticism
A June 2017 PC Gamer article examined the backgrounds of Intrepid's leadership. Sharif had no game development experience. Lead game designer Jeffrey Bard had worked on EverQuest 2 at Sony Online Entertainment for about three years, but his previous job was senior supervisor of customer support.
Sharif's history with multi-level marketing got more attention. He confirmed he'd joined XanGo at 18, selling nutritional products and supplements. He said he ran a sales website rather than recruiting others.
"Yes, they are an MLM and I understand that people dislike MLM because some companies focus on recruitment of people instead of sales of a product," Sharif said in interviews. He said XanGo was legitimate, pointing to its longevity and billions in sales.
Sharif didn't mention that XanGo had gotten in trouble with the FDA for claiming its products had anti-cancer and anti-depressant properties. He worked for the company rather than running it, but critics saw this as reason to doubt his honesty.
At 24, he moved into investments and real estate. He said those ventures made him most of his money.
The studio also caught heat for a referral program that gave content creators 15% of pledge values for promoting the game. Kickstarter told PC Gamer the arrangement violated their policies: "We do not allow revenue or profit sharing, which this program essentially offers through its payouts over time." Intrepid changed the program.
Alpha Access, Battle Royale, and Delays
Intrepid kept money coming in through multiple channels. Alpha 1 cost $500. Alpha 2 was $250. Pre-order packs ran up to $375. The studio also sold cosmetics (up to $25 each) and beta packages on its website.
In 2019, Intrepid released Ashes of Creation: Apocalypse, a free-to-play standalone battle royale. The studio abandoned it a few months later.
The first proper alpha got mixed reactions. PC Gamer's Sarah James wrote that the player-driven systems "were not yet coming together" and found the game "lacking a clear direction." Supporters argued that alphas exist for feedback and the team was still iterating.
Development continued through monthly livestreams and community updates. Some called the project a scam that would never release. It kept moving.
Steam Launch
Ashes of Creation hit Steam Early Access on December 11, 2025, priced at $49.99.
One source with claimed internal access said the launch caught most Intrepid employees off guard. A small group learned about Steam plans at an October 30 meeting. The public announcement came November 14. The source said this broke from how Intrepid normally operated, where employees knew what milestones they were working toward.
"The Steam release signaled that something was very wrong," the source said. "The fact that this was not a goal that they were working toward and it just snap of a finger we're doing this... this was a real marquee moment."
The game peaked at 31,882 concurrent players on Steam. Reports put sales between 250,000 and 300,000 copies, which would mean $12.5-15 million in revenue.
Reviews skewed negative. Players complained about bugs, incomplete systems, and the feeling that this was still an alpha build. Refund requests piled up.
The Final Week
Margaret Krohn, Intrepid's Director of Communications and Marketing, shared what happened inside the studio during the final days.
On January 28, leadership told her 100 of the 250 developers would be laid off. She was devastated but thought the remaining team could find a path forward.
On January 29, she warned her Game Services team that changes were coming. By end of day, she knew which of her people were being cut.
That same day, the studio posted a "director's letter" to the community. It wasn't signed by Sharif - just "the Ashes of Creation team." The letter talked about fixing PvP issues, corruption systems, caravans, and bugs. It promised a February 13 livestream to share "Q1 plans and outline the next steps."
On January 30, Krohn told each affected team member individually. People who were staying started working on plans to continue. People being let go offered to help.
On January 31, everyone got an email saying they were all being laid off. A WARN Act notice came with it, indicating permanent plant closure.
"It is still shocking," Krohn wrote. "The entire studio gathered to try to understand what had happened and what it meant for our future."
Employees Left Unpaid
The WARN Act notice, dated January 31, stated that Intrepid would "issue a layoff notice to all of its employees" affecting "all job titles and all positions." The company had "no alternative other than to undertake an entire and permanent plant closing."
A separate internal email said: "Payroll scheduled for February 1st, 2026 cannot be processed at this time due to the company's current financial condition."
Krohn listed what employees won't receive:
- Final paychecks
- 60-day notice and pay required under the WARN Act
- Bonuses promised for Alpha 2 delivery
- PTO payouts
- Any severance
The layoffs hit an already gutted industry. Game studios have cut tens of thousands of jobs over the past two years. Around 70% of laid-off developers reportedly still haven't found new work.
Sharif Blames Unknown Board
Sharif posted to the official Discord on January 31. The original post has since been removed.
"Control of the company shifted away from me, and the Board began directing actions that I could not ethically agree with or carry out," he wrote. He resigned "in protest rather than lend my name or authority to decisions I could not ethically support."
Most of senior leadership followed him out. After they left, the board issued WARN notices and did mass layoffs.
"I cannot responsibly speak to further details at this time due to ongoing legal and governance matters," Sharif added. "What I can say is that the developers and staff acted in good faith and deserved better than the uncertainty they are now facing."
This contradicted what Sharif said in a 2021 MMORPG.com interview: "We aren't governed by greedy corporate overlords. I'm funding the project, so no investors or board to answer to, no publishers to appease."
Public California filings from late December 2025 reportedly listed only Sharif as a director. John Moore appeared as President and COO. Players started calling it a rug pull.
One source with claimed internal knowledge said a board did exist. They claimed to have seen internal communications going back months that reference board involvement. "There is internal communications that I've seen with my eyes that I've 100% verified from multiple different sources that there absolutely was a board," the source said.
The source said the original plan after Sharif resigned was to cut to around 70 people and move development overseas. After leadership walked out, that changed to full shutdown within 24 hours.
The source also claimed a private equity group had acquired Intrepid. This hasn't been confirmed.
Missing Funds
Intrepid partnered with my.com and Mail.ru in 2018 for publishing in Europe and CIS regions. That deal ended in 2020. After that, Intrepid self-published for North America.
No other publishing deals were announced before the Steam launch. Running 250 employees costs money. The gap between losing publishing support and getting Steam revenue raises questions about where funding came from. Either Sharif put in substantial personal money, there were undisclosed investors, or both.
Employee Reactions
Krohn posted on social media after the shutdown: "Well, this chapter has come to a close. My time at Intrepid Studios has officially ended. To the Ashes of Creation community, you're some of the most passionate, dedicated players I've seen in this industry. I genuinely wish I could have done more for you."
She asked for understanding: "Please be kind to the developers. We are people who have families who have just lost our jobs after pouring our hearts and souls into Ashes of Creation."
When asked if the game was canceled, she said: "I don't work there anymore, so I can't answer that for you. Personally, I don't know how they would make it when the heart and soul of the product, the amazing dev team, was all laid off."
Senior environment artist Adam Anthony called it "the closing of Intrepid Studios." QA engineer Keith McAvoy, senior character artist Jessica Jennings, animator Brad Constantine, and design director Bill Trost all confirmed leaving or marked themselves as looking for work.
Some developers left messages inside the game: "We truly did our best, out of our control. You guys are incredible and keep on keeping on."
Krohn said former employees would host a job fair for affected workers.
Early Access Timing Questions
The Kickstarter promise said backers would get refunds if the game "does not launch." An Early Access release could count as a launch. That would kill any refund obligation.
Intrepid's own Early Access description said they would "continue to update the game until it reaches level of quality, stability, and content breadth that we expect for launch." This acknowledged the current build wasn't the finished product.
Players have also noticed the timing of other moves. Sharif sold his house to his husband in November 2025. The Early Access launch came in early December. Steam pays out to studios at the end of every month.
Critics argue Sharif knew the company was failing. Selling the house protected that asset from creditors. The Early Access launch let him leave with Steam revenue in his pocket while technically fulfilling the Kickstarter promise. The studio collapsing less than two months later fits this theory.
Sharif has stated multiple times that "the project is being funded by myself," which doesn't track with the Kickstarter money, pre-order packs, alpha sales, and Early Access revenue the studio collected over the years.
Steam Removes Game
Steam removed Ashes of Creation from sale. The buy button is gone from the store page.
A customer support response shared by one player said: "We are aware of the issue and are currently investigating this further. As soon as we have more information, we will update your ticket."
Refunds have been inconsistent. Players with under two hours of playtime get automatic refunds. Those with more time are getting mixed results. Community members say using the "I have a question about this product" option to reach human support works better than the standard refund request.
Kickstarter backers are in worse shape. Crowdfunding doesn't guarantee refunds. If Early Access counts as a launch, original backers probably can't get their money back.
The five people who paid $10,000 for the Avatar of the Phoenix package were promised a Las Vegas party, Wynn Resort stay, and developer dinner. None of that can happen now.
New Company Leadership
A search on the California government site for liens shows that Karen Boreyko now has control of Intrepid Studios. The site also reveals how many debtors the studio had, which supports a theory circulating in the community: Sharif made a debt-to-equity arrangement when he couldn't deliver on his promises, giving creditors control over the company's assets.
On February 3, Boreyko posted across several Discord channels.
"Hello everyone, my name is Karen L. Boreyko, and I want to take a moment to speak directly to this community as we begin a new chapter for Ashes of Creation," she wrote. She said Intrepid was "moving forward with a renewed long-term vision for the game, including continued development in China and a transition to a subscription-based model supported by optional daily battle passes, a new in-game gold shop, and expanded skill point progression systems."
Boreyko's background got attention fast. She was a co-founder of Vemma, a company that sold dietary supplements. The FTC shut Vemma down in 2015 for engaging in deceptive practices and operating as a pyramid scheme. The agency found Vemma guilty of deceptive marketing and not making it clear to affiliates that they wouldn't earn anywhere near the money promised. Vemma paid out $2.2 million as a result.
Nobody knows what she plans to do with an unfinished MMORPG.
One source warned that private equity allegedly owning the company might try to bring the game back later. "There is a possibility that even though they've just laid everyone off, they just lay low for a little while and then try to revive this with a completely outsourced overseas team," they said.
Community Chaos
With community staff gone, the official Ashes of Creation Discord has no moderation. Comments, memes, and spam fill every channel.
The subreddit is full of people sharing refund attempts and analyzing corporate filings. Some see the collapse as proof they were right to be skeptical. Others defend the developers while blaming leadership.
Leaked DMs allegedly show Sharif making negative comments about critics, calling some "gross humans." The messages haven't been verified.
Server Status
Ashes of Creation servers are still running. Players who bought the game can still log in. With no staff left, nobody knows how long that lasts.
The February 13 livestream announced in the January 29 letter is technically still on the calendar. Who would run it is unclear since everyone who normally appeared has left.
Sharif has said little since his resignation statement. He asked for "patience" and said more clarity would come after legal filings. He reportedly won't comment to press without checking with his lawyers first.
One source put it bluntly: "Whether you like Steven, whether you agree with Steven, Ashes of Creation is Steven Sharif. Steven Sharif is Ashes of Creation. Without him, without the people that have been making this game this entire time, this thing is done."
"The promises that you were sold on relied completely on Steven's involvement," the source continued. "Without him, there is no promise of no corporate interference and pay to win. Without Steven, this project doesn't exist."
Industry Context
The shutdown adds to a pattern. The Day Before collapsed shortly after release last year amid accusations of misleading marketing. Amazon recently announced New World will shut down servers next year.
The UK Parliament debated consumer protection laws for video games in November 2025. The industry has mostly self-regulated for decades, but repeated disasters might push governments to step in.
Unanswered Questions
Nobody has the full picture yet. Even people who worked at Intrepid don't know everything that happened, according to sources.
The big unknowns:
- What board was Sharif talking about when public filings showed him as sole director?
- What decisions did the board want that Sharif found unethical?
- How did a studio with $3.2 million in crowdfunding, years of $500 alpha sales, and hundreds of thousands of copies sold at $49.99 run out of payroll money?
- Did private equity actually acquire Intrepid? When and on what terms?
- Will employees or players have any legal options?
- Was Early Access timed to avoid Kickstarter refunds?
Sharif said he "cannot responsibly speak to further details at this time due to ongoing legal and governance matters." Former employees are in the same position.
The full story will probably take months to come out through legal proceedings and reporting.
Current Status
No official statement has confirmed the game is being shut down. Sharif and the dev team abandoned it, but someone still controls the company. The game could get shuttered completely or handed to another studio. It's at least in a playable state.
Players have an unfinished game with no one working on it. Developers have no jobs and won't get paid for work they already did. Nine years of development ended in a week.
The 250 people who built Ashes of Creation now have to find work in an industry that's been laying off tens of thousands. The nearly 20,000 Kickstarter backers and hundreds of thousands of Steam buyers have no clear path to refunds.