Krafton Ordered to Reinstate Subnautica 2 CEO and Extend $250 Million Employee Bonus
A Delaware court has mandated that Krafton reinstate Ted Gill, the former CEO of Subnautica 2 developer Unknown Worlds, and extend a proposed $250 million bonus to employees. The ruling stems from a legal battle initiated after Krafton fired Gill and other senior team members last summer.
Legal Battle and Court Ruling
The judge ruled that Krafton was guilty of “wrongfully usurping control” of Unknown Worlds and breached its agreement with key employees by terminating them without valid cause. The court specifically declared Krafton’s July 1, 2025, board resolution regarding the terminations ineffective, restoring Gill’s operational control over the game.
Bonus Extension
The $250 million bonus, tied to the successful early access launch of Subnautica 2, has also been extended. The earnout period is now set to at least September 15, 2026, giving the team additional time to meet the requirements for the payout. IGN reports that Krafton initially accused the fired developers of abandoning their duties after they filed a lawsuit.
Krafton’s Response
Krafton has stated that it “respectfully disagrees with today’s ruling” and is evaluating its options, while also noting that further litigation regarding damages is still pending. According to a company spokesperson, Krafton remains focused on delivering the best possible game to Subnautica fans and pushing out the updated version as soon as possible.
Background of the Dispute
The conflict arose after Krafton acquired Unknown Worlds and included a clause in the agreement stipulating a $250 million bonus if Subnautica 2 shipped by a specific date. Following the firing of Gill, co-founder Charlie Cleveland, and technical director Max McGuire in July 2025, the ousted executives filed a lawsuit. Rock Paper Shotgun details that the executives claimed the game was ready for early access at the time of their termination.
Impact on Subnautica 2 Development
The court’s decision restores Ted Gill’s authority over the early access launch of Subnautica 2 and reinstates his access to the Steam platform. PC Gamer notes that the judge also extended the time frame for the team to earn the $250 million bonus.