Starbreeze Studios has cancelled its upcoming Dungeons & Dragons cooperative multiplayer game, codenamed Project Baxter, to refocus its efforts on the studio’s flagship PAYDAY franchise.
The Swedish developer announced the strategic shift this week, confirming the discontinuation of the D&D title, which was expected to launch in 2026. The decision follows a review by the board of directors, which concluded that the company’s resources would be better used to support the growth of its primary intellectual property.
This pivot comes at a cost, resulting in a non-cash impairment of approximately SEK 255 million (around £19 million) and a reduction of about 44 employees and contractors.
In a statement, Starbreeze CEO Adolf Kristjansson described the move as a “difficult but necessary decision.” He explained,
Our strategy is clear: PAYDAY is one of the most iconic IPs in gaming, with unmatched reach and potential. By focusing our investment and talent here, we can accelerate delivery, engage players with more content, and reinforce Starbreeze’s position as the clear leader in the heisting genre.”
Project Baxter was first announced in late 2023 and was slated to be a live-service game set in the world of Dungeons & Dragons, built on the cornerstones of co-op multiplayer and community engagement. While little had been shown of the game, the studio had previously shared concept art and an in-engine scene on social media, promising an action RPG set in the Forgotten Realms.
The decision to cancel the licensed project and double down on their own IP follows a rocky period for the company. Their most recent release, PAYDAY 3, launched in 2023 to a mixed reception and was plagued by technical issues, reportedly failing to meet sales expectations. This led to a leadership change in early 2025, with Kristjansson taking over as CEO.
Some team members from Project Baxter will be reassigned to other projects within the company, primarily to support the ongoing development of PAYDAY. For those affected by the layoffs, Starbreeze has stated it will provide active support to help them find new roles in the industry.
Kristjansson extended his thanks to the team and to the D&D license holder, Wizards of the Coast.
I want to sincerely thank the Baxter team for their passion and creativity, and express appreciation to Wizards of the Coast for their support. Though we have made the decision to not continue forward with this project, we are proud of what was achieved in Baxter, and those contributions will carry forward into PAYDAY and the future of Starbreeze.”
The cancellation is another blow for fans of digital D&D, following news earlier in the year of a cancelled open-world RPG that was in development at Hidden Path.
