Subnautica 2, a survival game sequel that is one of the most-wishlisted games on Steam, is now at the center of a lawsuit. This lawsuit followed Krafton, the publisher of Subnautica 2 and parent company of developer Unknown Worlds, ousting the founders of Unknown Worlds and forcing the game’s release to be delayed until 2026.

Reporting from Bloomberg and Aftermath has revealed more about this situation, including a $250 million bonus payout that became potentially unachievable after the Unknown Worlds founders were ousted and the game was delayed. The lawsuit is ongoing, while Subnautica is now slated for a 2026 release rather than a 2025 launch.

Why are Unknown Worlds’ founders suing Krafton?

Bonuses, firings, and delays

The story began back when Krafton, best known for publishing PUBG, acquired Unknown Worlds in 2021 for $500 million. Studio leadership — Ted Gill, Charlie Cleveland, and Max McGuire — remained on board, and Unknown Worlds was set to receive an additional $250 million bonus that would be shared among all employees if certain revenue targets were met. If Subnautica 2 became as big as its wishlists indicated it could be at launch this year, it was likely that a bonus would be paid out. In a lawsuit embedded in the Aftermath article, Cleveland, Gill, and McGuire are alleging that Krafton intentionally delayed the game to avoid paying that sum.

Allegedly, Krafton began to pressure Unknown Worlds to delay Subnautica 2, going so far as to withdraw marketing resources and support from the game as a publisher. It claimed that the founders weren’t doing enough to work on the game, although the lawsuit alleges that foucs was being put on mobile and Nintendo Switch 2 ports of Subnautica, as well as a film. While Bloomberg reports that Krafton urged Unknown Worlds’ founders to take a lower payout, when they decided not to, the founders were let go on July 1. This resulted in backlash, especially when reports about the bonus payout emerged.

Officially released statements from Krafton about the matter claim that “leadership abandoned the responsibilities entrusted to them” by focusing on personal projects and that “the absence of core leadership has resulted in repeated confusion in direction and significant delays in the overall project schedule.” Sources that spoke to Bloomberg appeared to think Subnautica 2 was in good shape, though, especially for an early access title. Regarding the lawsuit, Krafton sent Aftermath the following statement:

“Releasing the game prematurely with insufficient content, falling short of what fans expect in a sequel, would have both disappointed the players — who are at the heart of everything Krafton does — and damaged the reputations of both the Subnautica and Unknown Worlds brands. While we are disappointed that Charlie, Max, and Ted have filed a lawsuit seeking a huge payout, we look forward to defending ourselves in court. In the meantime, Krafton remains focused on what matters: delivering the best possible game as quickly as possible to Subnautica’s fans.”

As of now, the lawsuit situation is ongoing, although Krafton is extending the period for a potential bonus payout for the developers who have remained at Unknown Worlds, according to Bloomberg. It also seems like Subnautica 2 is still delayed into 2026, when it’ll launch into early access on PC.