Layoffs Reported at BioShock 4 Developer Cloud Chamber as Diablo’s Rod Fergusson Assumes Studio Head Role

Significant Changes at Cloud Chamber as BioShock 4 Development Faces Challenges

Recent revelations from Bloomberg’s Jason Schreier have unveiled that Cloud Chamber, the studio behind the highly anticipated BioShock 4, is experiencing layoffs amidst a turbulent development phase. Rod Fergusson, the former general manager of the Diablo franchise, is stepping in as the new head of Cloud Chamber, a notable leadership shift that could influence the game’s trajectory.

In a post on Bluesky, Schreier highlighted the precarious situation at Cloud Chamber, noting that Fergusson’s appointment echoes his past role in salvaging BioShock Infinite during its troubled development. These staffing changes follow earlier reports in August that indicated significant turmoil within the development process, which faltered after failing a crucial milestone check-in with parent company Take-Two Interactive.

BREAKING: BioShock 4 developer Cloud Chamber is laying off an unspecified number of staff. Also, former Diablo boss Rod Fergusson is taking over as Cloud Chamber’s new studio head. More than a decade ago, he joined the troubled BioShock Infinite and helped salvage that game’s production.

— Jason Schreier (@jasonschreier.bsky.social) 2025-08-19T15:18:54.833Z

Leadership Transition and Its Implications

Fergusson is replacing Kelley Gilmore, who was recently transitioned to a publishing role after being removed from her studio head position. While the exact number of layoffs remains undisclosed, these changes raise concerns about the future of BioShock 4’s development process and overall health. However, Fergusson’s track record may bring a much-needed sense of optimism. Known for his ability to rescue struggling projects, he has previously revitalized franchises like Gears of War and Diablo IV.

Fergusson’s Vision for BioShock

On X (formerly Twitter), Fergusson expressed his excitement about returning to the BioShock series, acknowledging the significance of this moment for him personally. He emphasized his awareness of the challenges currently faced by the development team due to restructuring and the necessity to rally together to produce a game that fans will cherish.

Would you kindly allow me to share some news? Some of you guessed it, I’m returning to 2K to lead a series that means a lot to me as the new Head of the BioShock Franchise. I’ll be heading up Cloud Chamber and overseeing development of the next BioShock game, along with…

— Rod Fergusson (@RodFergusson) August 19, 2025

A Glimpse into BioShock’s Development Timeline

Work on BioShock 4 has been ongoing since around 2015, and with the recent leadership turmoil, the project faces an uncertain future. However, with Fergusson at the helm, there is renewed hope that he will leverage his expertise to navigate these challenges effectively. His reputation as a reliable ‘closer’ for troubled projects positions him well to lead Cloud Chamber and restore confidence in BioShock 4’s development.

As the industry watches closely, fans hope that Fergusson, along with the remaining dedicated team at Cloud Chamber, can steer this beloved franchise back on course towards an exciting new chapter.

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