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Krafton and Subnautica 2 Developer Settle Bonus Lawsuit, CEO Ted Gill Steps Down

The settlement ends a bitter corporate battle that saw a judge order Krafton to reinstate Gill after the publisher tried to avoid a performance-based payout, and it clears the path for the studio's future leadership.

Reporting from 1 sources: 4Gamer.net.

Krafton and Subnautica 2 Developer Settle Bonus Lawsuit, CEO Ted Gill Steps Down

Krafton and Unknown Worlds Entertainment have fully settled their legal dispute over a $250 million bonus. Under the settlement, bonuses will be paid to all employees, and CEO Ted Gill will step down amicably. The game has sold over 4 million copies since its early access launch in May 2026.

The legal fight between Krafton and the studio behind Subnautica 2 is over. A full settlement has been reached in the dispute over a bonus of up to $250 million tied to the 2021 acquisition of Unknown Worlds Entertainment. Under the terms, bonuses will be paid to all studio employees, including recent hires. CEO Ted Gill will step down as part of the agreement, saying new leadership is the best way forward. A new CEO will be recruited externally.

The conflict began in summer 2025 when Krafton fired Gill and others, citing dereliction of duty and unauthorized data downloads. In March 2026, a Delaware court ruled Krafton must reinstate Gill immediately, criticizing the publisher for a takeover plan called Project X aimed at avoiding the payout. Court records showed a Krafton representative consulted ChatGPT on how to avoid payment. Gill was reinstated, and Subnautica 2 launched in early access in May 2026, selling over 4 million copies.

Synthesized by Yomimono from the 1 cited source below, including Japanese-language reporting where cited, then editorially reviewed before publishing.

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