Liquid Swords Bankruptcy Ends Samson's Short Life; Sundberg Confirms Closure

Key points

• Liquid Swords filed for bankruptcy after employees went unpaid for two months, with salaries to be covered by Swedish state wage guarantees.
• All 27 staff members are being dismissed; their contracts do not transfer to any potential buyer of the studio's assets.
• The studio's assets, including intellectual property for Samson and development equipment, are up for sale with a bidding window closing on October 21, 2026.
• Samson sold 151,900 copies by October 14, 2026, generating SEK 24.1 million in revenue, which was insufficient to sustain the company.
• Founder Christofer Sundberg confirmed the closure, stating that while the console version of Samson performed better, it was not enough to save the studio.

Background

Liquid Swords, founded in 2020 by former Avalanche Studios co-founder Christofer Sundberg, had previously reduced its workforce in February 2026 for 'long-term sustainability.' The studio's only release, Samson, launched in April 2026 to mixed reviews and critical issues. A minority stake was acquired by NetEase in 2022. The studio had faced an 'acute liquidity shortage' prior to the bankruptcy filing.

How outlets are covering it

GamesIndustry.biz reported that the bankruptcy was petitioned by employees after two months of non-payment and detailed the asset sale process, noting that staff contracts do not transfer to buyers. GameSpot highlighted Sundberg's direct confirmation of the closure and his statement that the console release of Samson 'did far better' but was insufficient to save the studio. Both outlets agree on the financial failure and the dismissal of all staff, but GameSpot emphasized Sundberg's personal commentary and the studio's 'zero-nonsense' philosophy, while GamesIndustry.biz focused on the legal and financial mechanics of the bankruptcy and asset sale.

Why it matters

The collapse of Liquid Swords highlights the financial risks faced by independent studios in the current game industry, particularly those with high development costs and limited commercial success. It also underscores the impact of unpaid wages on employees and the role of state wage guarantees in such cases. The case may influence how other studios manage their finances and workforce in the face of commercial underperformance.

What to watch

The bidding window for Liquid Swords' assets will close on October 21, 2026. Sundberg has indicated he is discussing continued support for Samson, though no specific plans have been announced. The future of the game and any potential acquisition of the studio's assets remain uncertain.