Behaviour Interactive Layoffs and Pokémon TCG Pocket’s Staying Power | Week in Views

Why It Matters

The layoffs signal a shift away from risky third‑party contracts for mid‑size developers, while Pokémon TCG Pocket’s earnings demonstrate how strong IP and live‑service models can sustain high revenue in the mobile gaming market.

Key Takeaways

• Behaviour Interactive cuts staff due to waning external mobile game contracts
• Dead by Daylight remains core revenue driver despite layoffs
• Pokémon TCG Pocket generated $1.6 bn in 18 months
• Monthly revenue still in tens of millions despite declining spend
• Continuous pack releases sustain player engagement and microtransaction flow

Pulse Analysis

Behaviour Interactive, the Canadian studio behind the hit asymmetrical horror game Dead by Daylight, announced a new round of layoffs tied to a slump in external development contracts for mobile and casual titles. The cuts affect teams that previously partnered with industry giants such as NetEase, Disney, EA and Tencent, reflecting a broader contraction in the outsourced mobile‑game market as publishers pull back on third‑party collaborations. While the studio recently expanded its portfolio by acquiring The Fun Pimps, the decision underscores the volatility of relying on external pipelines. Analysts see this as a signal that mid‑size developers must double down on owned IP to weather demand cycles.

The digital collectible space has been buoyed by Pokémon TCG Pocket, which has amassed roughly $1.6 billion in revenue within just 18 months of launch. The title leverages the enduring Pokémon brand and a free‑to‑play model that monetizes through regular pack drops, seasonal events, and limited‑edition cards that drive microtransactions. Although monthly spend has begun to taper—a natural progression after an initial surge—the game continues to pull in tens of millions of dollars each month, keeping its user base highly engaged. This performance illustrates how well‑executed live‑service mechanics can sustain long‑term cash flow in a crowded mobile market.

The juxtaposition of Behaviour’s staffing reductions and Pokémon TCG Pocket’s financial success highlights divergent strategies within the gaming sector. Studios like Behaviour may need to reallocate resources toward flagship titles such as Dead by Daylight, reducing reliance on volatile external contracts. Conversely, publishers that harness strong IP and continuous content pipelines can generate robust, recurring revenue even as overall spend moderates. For investors, the takeaway is clear: sustainable growth increasingly favors companies that own compelling IP and can deliver fresh, monetizable experiences without overextending into uncertain partnership models.