Editing Piranha Bytes (section)

== History ==
Alex Brüggemann, {{Interlanguage link|Mike Hoge|de}}, Stefan Nyul and {{Interlanguage link|Tom Putzki|de}} founded Piranha Bytes in [[Bochum]] in 1997, incorporating it as Piranha Bytes Software GmbH.<ref name="Piranha Bytes: About" /><ref name="GameStar: Profile" /> In 1999, the company became a wholly owned [[subsidiary]] of the German publisher [[Phenomedia]].<ref name="GameStar: Profile" /> Piranha Bytes' first game, ''[[Gothic (video game)|Gothic]]'', was released in 2001.<ref name="Piranha Bytes: About" /> Shortly thereafter, Brüggemann left the company to work on smaller game projects, eventually designing ''[[The Settlers: Rise of an Empire]]''. He died on 19 January 2013 after suffering from cancer for three years.<ref name="Making Games: Brüggemann" /><ref name="Comixfactory: Brüggemann" />

Following a financial scandal at Phenomedia, the parent company filed for [[insolvency]] in May 2002.<ref name="GameStar: Profile" /> Piranha Bytes' management performed a [[management buyout]], concluded in September that year, and transferred the studio's trademarks and [[intellectual property]], including the rights to the [[Gothic (series)|''Gothic'' series]], to Pluto 13 GmbH, a new entity that assumed "Piranha Bytes" as its [[trading name]].<ref name="Piranha Bytes: About" /><ref name="GameStar: Profile" /> Only one of the four original founders remained with the new incorporation.<ref name="Piranha Bytes: About" /> In March 2004, Piranha Bytes was among the founders of {{Interlanguage link|GAME Bundesverband der deutschen Games-Branche|de}}.<ref name="GameStar: GAME" />

On 22 May 2019, [[THQ Nordic]], as part of [[Embracer Group]], announced that it had acquired the studio to undisclosed terms.<ref name="GamesIndustry.biz: THQ Nordic" /> At the time, Piranha Bytes had 31 employees in its [[Essen]] offices.<ref name="GamesIndustry.biz: THQ Nordic" /> Through the acquisition, the company was reincorporated as Piranha Bytes GmbH.<ref name="Piranha Bytes: About" /> By April 2021, with 33 employees, Piranha Bytes was among the forty largest video game companies in Germany.<ref name="GamesWirtschaft: Largest" />

In 2023, Embracer Group began implementing [[cost reduction]] measures to reduce accrued debt, including significant layoffs and studio closures. THQ Nordic reportedly began seeking a buyer for Piranha Bytes late that year. As this was unsuccessful, it began laying off all staff in December, a process ongoing as of 17 January 2024, and reduced the company to a [[Shell corporation|shell]]. The state of the studio's third ''ELEX'' game (codenamed ''WIKI6'') is unknown. The [[Federal Ministry for Economic Affairs and Climate Action]], which financed the development with {{€|3.2&nbsp;million}}, briefly removed ''WIKI6'' from its website before reinstating it as ''Currywurst'', stating that the financing claim had not been withdrawn, unlike that of the project cancelled at the downsized sister studio [[Fishlabs]].<ref name="GameStar: Closure" /><ref name="GamesWirtschaft: Closure" />

=== Closure ===
On 22 January 2024, the studio released a message on its official website, which expressed optimism about finding a partner for future projects and promised to keep the community updated.<ref name="PiranhaBytesAnnouncement">[https://www.piranha-bytes.com/a/Announcement__20240122_EN.pdf Piranha Bytes Announcement]</ref> In July 2024, it was confirmed that the studio had shut down in late June after failing to find such a partner.<ref name="Ivan"/><ref>{{Cite web |last=Blake |first=Vikki |date=2024-07-08 |title=Embracer-owned studio Piranha Bytes has been shut down |url=https://www.gamesindustry.biz/embracer-owned-studio-piranha-bytes-has-been-shut-down |access-date=2024-07-08 |website=GamesIndustry.biz |language=en}}</ref>

Some of the former employees founded the independent studio Pithead, which is being led by husband and wife Björn and Jenny Pankratz, who have been part of Piranha Bytes more or less since its inception. They have not yet announced what project this small team will work on.<ref>{{Cite web |last=Blake |first=Vikki |date=2024-07-08 |title=Former Piranha Bytes devs form Pithead Studio |url=https://www.gamesindustry.biz/former-piranha-bytes-devs-form-pithead-studio |access-date=2024-08-03 |website=GamesIndustry.biz |language=en}}</ref>

On 10 March 2025, four former Piranha Bytes employees announced the formation of Brainlag Games, a new independent studio.<ref>{{cite web |last=Kleffmann |first=Marcel |url=https://www.gamesmarket.global/marcel-kleffmann/new-studio-former-piranha-bytes-members-form-brainlag-games-and-announce-rootbound-e429242a67c40126f61ee808e9f4ffd3 |title=Former Piranha Bytes Members Form Brainlag Games and Announce Rootbound |work=GamesMarkt |date=10 March 2025 |access-date=11 March 2025 |url-access=subscription}}</ref> Their first game, ''Rootbound'', is scheduled to be released in 2026.<ref>{{cite web |last=Romano |first=Sal |url=https://www.gematsu.com/2025/03/physics-based-action-adventure-game-rootbound-announced-for-pc |title=Physics-based action adventure game Rootbound announced for PC |work=Gematsu |date=10 March 2025 |access-date=11 March 2025}}</ref>