It has been a challenging 24 hours for the world of video games. Microsoft has started the process of chopping off heads throughout Xbox Game Studios, with Compulsion, Arkane, Ninja Theory, and Double Fine supposedly at risk, with all of this coming after Xbox Game Studios head Craig Duncan resigned from his role too. But this isn't all the tough news being dished out.
In a full and lengthy statement, French developer Don't Nod has claimed that it is facing a situation where it could run out of money by November. According to the documentation, part-owner of Don't Nod, Tencent, has decided it doesn't want to increase the capital it provides to the company and likewise it doesn't want to finance a new game by the studio, which means the developer is facing a situation where it doesn't have the capital required to continue making new projects.
It's unclear what this means in the long haul, but a reasonable assumption will be that Don't Nod will fight to remain in operation by undergoing layoffs and downsizing to reduce its spend and potentially free up some funds. The worst case scenario would be the Aphelion, Jusant, Lost Records: Bloom & Rage, and Banishers: Ghost of New Eden developer being shut down and closed for good.
What is known is that Don't Nod has been in troubling financial waters for some time, with frequent layoffs happening over the past few years. This seems to be the next stage of this situation.