Spectre Divide, the FPS Shroud Supported, Shuts Down After 6 Months Since Launch

Just six months after its launch, the tactical FPS game Spectre Divide and its developer, Mountaintop Studios, are shutting down. The reason? The game failed to meet the company's financial expectations. Let's delve into the details of Mountaintop Studios' CEO's statement and the factors contributing to this unfortunate closure.

Spectre Divide to Go Offline in 30 Days

Season 1 and Console Launch Fall Short of Expectations

Mountaintop Studios announced the closure on March 13th via Spectre Divide's official Twitter (X) account. CEO Nate Mitchell explained that despite initial optimism—over 400,000 players and a peak concurrent player count of 10,000 across all platforms in its first week—the Season 1 launch and console release didn't generate the sustained player base and revenue needed for the game's and studio's survival. He specifically cited the failure of Season 1: Flashpoint to achieve the necessary success. Game Director Lee Horn added that initial server issues hampered the game's launch momentum, despite marketing efforts. Mitchell acknowledged the risks involved, stating that the team knew the odds were stacked against them from the start, but proceeded anyway.

As reported by The Verge in December 2024, Mountaintop Studios was already facing significant challenges. The Season 1 launch and console release were considered a last-ditch effort to revive the game's fortunes. The company plans to shut down Spectre Divide within 30 days, disabling new purchases and issuing refunds for all in-game purchases made since the Season 1 relaunch. Further details on the refund process are promised soon.

$30 Million in Funding Proves Insufficient

The closure announcement is particularly striking given Mountaintop Studios secured $30 million in funding last year from prominent investors including Anthos Capital, RX3 Growth Partners, A16Z GAMES, and other angel investors. This investment, announced on LinkedIn in 2024, ultimately proved insufficient to ensure the game's and studio's long-term viability. Mitchell attributed the failure to the current challenging state of the games industry, highlighting the difficulties in launching and sustaining a live-service game in a competitive market.

Spectre Divide joins a growing list of live-service games that have faltered, including titles like Multiversus, Babylon's Fall, and Concord, as well as cancelled projects such as The Last of Us Online and a rumored God of War live-service game.

Mountaintop Studios to Close This Week

The impact extends beyond the game itself; Mountaintop Studios will cease operations by the end of the week due to depleted funding. Despite exploring options like finding a publisher, seeking additional investment, or pursuing acquisition, the studio was unable to secure the necessary resources to continue. This unfortunate outcome underscores the inherent risks and challenges facing game developers, particularly in the competitive live-service market.