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Sega Closes Studio After Failed Sonic Mobile Game

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Rovio, which Sega acquired in 2023 for 706 million euros, is ceasing operations at its Copenhagen division as part of a staff reduction. The exact number of layoffs is not yet known, as the process is still ongoing. Approximately 20 people worked on Sonic Blitz.

The game was downloaded over 200,000 times. In June 2026, the number of installations reached approximately 32,000 per month, which was not enough for a full release. One of the problems was low player retention rates.

Rovio announced that some employees would be offered transfers to other company teams. Those for whom no positions are found will be provided with assistance in finding new employment and support for employee well-being.

The studio closure is another blow to Rovio. In February 2026, Sega announced a write-off of approximately $200 million related to investments in the company.