Remedy Entertainment CEO Resigns After 9 Years Amid FBC: Firebreak Financial Crisis

Leadership Transition at Remedy Entertainment Following FBC: Firebreak’s Disappointment

In a significant leadership shift, Remedy Entertainment has confirmed the departure of Tero Virtala, its CEO for the past nine years. While Virtala steps down, he will continue to support the company as it searches for a new CEO. In the interim, Co-founder and Chief Product Officer Markus Mäki will take the helm as the acting CEO. Mäki, who previously served as the Chairman of the Board, has now transitioned to this new role, with Henri Österlund stepping in to replace him as Chairman.

“I want to thank Tero Virtala for his substantial contribution to the management of Remedy since 2016. I personally thank Tero for good cooperation and wish him all the best for the future.”

Details surrounding Virtala’s departure remain vague; however, industry insiders speculate that it is tied to the recent financial challenges facing the company, particularly following the lackluster launch of FBC: Firebreak. This title marked Remedy’s first venture into cooperative multiplayer gaming but has been widely perceived as a failure.

Earlier this August, Virtala acknowledged that the game did not meet the studio’s expectations for performance. Despite efforts to reinvigorate interest through a major free update known as Breakpoint, these attempts fell short of rectifying the game’s disappointing reception. Furthermore, the studio recently issued a warning to investors, marking down their long-term sales projections for FBC: Firebreak. This came alongside a significant non-cash impairment valuation of €14.9 million, primarily reflecting the capitalized development costs and associated publishing and distribution rights.

As a result of these financial setbacks, Remedy expects to report a negative operating profit for 2025, which will dip below the figures estimated for 2024. All eyes are now on Remedy as they prepare to release their comprehensive Q3 2025 Business Review, scheduled for Wednesday, October 29.

The gaming community is hopeful that these transitions won’t lead to workforce reductions at the studio. Although Alan Wake 2 received critical acclaim, it has struggled with sales figures as well. Remedy’s upcoming projects include Control 2, which is being developed on a leaner budget compared to Alan Wake 2, and remakes of the beloved Max Payne series in collaboration with Rockstar Games.

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