Subnautica 2: Reinstated CEO Makes New Accusation Against Krafton, Announces Game Release

Key Takeaways

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  • The Delaware court has reinstated Ted Gill as CEO of Unknown Worlds, ordering Krafton to restore his access to the Steam platform and cease interference with his authority over Subnautica 2s early access release.
  • New accusations have been made against Krafton for alleged contempt of court, including announcing a May release date for Subnautica 2 without Gills approval following the courts ruling.
  • The founders of Unknown Worlds (Gill, Charlie Cleveland, and Max McGuire) accuse Krafton of disregarding the court order by allowing an internal memo to be sent announcing a release window for Subnautica 2 without CEO approval.
  • There are suspicions that Krafton deliberately leaked information about the games readiness for early access to the press, potentially to avoid paying a bonus of up to $250 million tied to the games performance. The case remains unresolved, leaving the future of Subnautica 2 uncertain amidst ongoing legal conflict.

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The legal conflict between Unknown Worlds’ founders and publisher Krafton has intensified, with new accusations of contempt of court and a direct challenge to the interim leadership appointed by Krafton. This escalation follows a Delaware court’s recent decision to reinstate Ted Gill as CEO of Unknown Worlds, the studio behind Subnautica 2. Judge Lori W. Will ordered Krafton to restore Gill’s access to the Steam platform and to cease interference with his authority over the game’s early access release. However, Gill’s lawyers now claim that Krafton preemptively announced a May release date for Subnautica 2 without his approval, despite his reinstatement on March 16. They allege that on the day following Judge Will’s decision, Steve Papoutsis—the executive placed in command by Krafton after the founders’ dismissal—sent an internal memo stating that Subnautica 2 was ready for early access in May, a decision Papoutsis claimed was made jointly with Krafton.

Gill, cofounder and creative director Charlie Cleveland, and cofounder and technical director Max McGuire, through their lawyers, accuse Krafton of disregarding the court order by allowing Papoutsis to announce the release window without CEO approval. According to the founders’ attorneys, Papoutsis no longer had the authority to make such decisions after the court’s ruling. In a letter to the judge, they assert that Krafton announced the launch without considering its impact on the game, team, or community, and in explicit defiance of the ruling. Krafton’s lawyers counter that Papoutsis’s memo did not undermine Gill’s authority or decision-making power regarding Subnautica 2. They emphasize that announcing a game is a strategic moment that requires marketing campaigns, community coordination, and planned actions to maximize engagement—a process that, according to the court’s decision, falls under Gill’s responsibility. The founders contend that Krafton’s actions violate the court order and risk harming Subnautica 2’s commercial performance by confusing fans and diminishing the impact of an official announcement.

Controversy Over Alleged Premature Subnautica 2 Release Announcement Leak and Bonus Dispute Persists

The founders’ attorneys also suspect that Krafton deliberately leaked Papoutsis’s communication to the press before any public confirmation. They allege this was an attempt to reduce the announcement’s impact and, consequently, affect initial sales, potentially to avoid paying a bonus of up to $250 million tied to the game’s performance. The court previously extended the eligibility period for this bonus to September 2024, with a contractual option to extend it further to March 2027. Krafton denies any wrongdoing. Their lawyers state that Papoutsis’s message merely celebrated a prior milestone—the internal assessment that the game was ready for early access—and did not attempt to interfere with Gill’s authority. Krafton maintains that Gill remains free to reassess Subnautica 2’s status and set its release schedule, regardless of the prior communication. With conflicting accounts and increasingly serious accusations, the case remains far from resolved, leaving the future of Subnautica 2 uncertain amid the ongoing legal battle.

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Specification
Official NameSubnautica 2
Brief SummaryDive into uncharted waters in Subnautica 2, the hotly-anticipated sequel to Subnautica and Subnautica: Below Zero. Adventure alone or with friends as you try to survive on an all-new mysterious alien planet.
PlatformsPC (Microsoft Windows), Xbox Series X|S
GenreAdventure
Play ModesSingle player, Multiplayer, Co-operative
LanguagesKorean
GenreUnknown Worlds Entertainment
GenreKrafton

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