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Megan Ellison, the award-winning daughter of Oracle co-founder Larry Ellison, faces a major crisis at Annapurna Interactive, her gaming division under the broader Annapurna Pictures banner. The entire 25-member staff of the acclaimed indie publisher resigned in September 2024 following months of failed negotiations to spin off the gaming division as an independent entity.
Tensions between Annapurna Interactive president Nathan Gary and Megan Ellison reportedly intensified during discussions aimed at making the division independent. When Ellison unexpectedly withdrew from these talks, it triggered a mass exodus, including key executives like Gary, Deborah Mars, and Nathan Vella. These leaders and staff, credited with games like ‘Outer Wilds’, ‘What Remains of Edith Finch’, and the popular ‘Stray’, decided to leave, marking a significant blow to the company.
Annapurna Interactive, founded in 2016, rapidly gained a stellar reputation for championing innovative indie titles. However, the staff's departure leaves the future of the studio uncertain. Developers associated with the company are now in limbo, unsure about the status of their projects and funding. Megan Ellison has publicly reaffirmed the company’s commitment to supporting ongoing projects and expanding its role in interactive entertainment.
The company moved swiftly to appoint Hector Sanchez, a former Epic Games executive, as the new head of Annapurna Interactive, tasked with rebuilding the division and reassuring developers of the company’s stability. However, the road ahead seems daunting as Sanchez navigates this difficult transition.
For now, the industry waits to see how Annapurna will handle its existing commitments and whether the departed team members will regroup under a new banner.
