Take-Two has sold Private Division to Undisclosed Buyer

Important takeaways

Take-Two sells Private Division, new owner unknown, possibly to avoid layoffs.
Layoffs and studio closures are affecting the gaming industry, even dominant companies like Take-Two.

Take-Two Interactive has sold Private Divisionalthough the company's new owner is currently unknown to the public. In many cases over the past few years in the gaming industry, major studios have resorted to downsizing as a way to streamline work on projects and save money. Take-Two, an industry leader known to many as the owner of Rockstar Games and Zynga, among others, has also faced its share of problems. By selling the Private Division to an owner potentially more capable of supporting its team seamlessly, the company may have avoided another round of layoffs.

It's been a tumultuous time for the gaming industry due to rampant layoffs and studio closures, even affecting gaming giant Take-Two Interactive. The publisher closed Rollerdome developer Roll7 along with Intercept Games, developer of Kerbal Space Program 2. While Take-Two's dominance in the gaming market is largely due to being tied to so many successful titles, it appears that the costs may have outweighed the benefits in some areas.

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GTA 6 publisher Take-Two Interactive has sold its indie company Private Division. Take-Two shared this information as part of its Q2 2025 results, with its CEO Strauss Zelnick telling Variety Magazine that the deal included the purchase of virtually all of Private Division's projects, including unreleased ones. Early access title No rest for the wicked will still be supported by Take-Two in the meantime. This is a big shift for both companies, but one that some may have anticipated for a while.

What does the future look like for Private Division?

In May 2024, IGN reporter Rebekah Valentine claimed that Take-Two was “quietly killing off” Private Division amid its parent company's mass layoffs and cost-cutting. That month, Take-Two had reportedly explored selling Private Division instead of an outright shutdown. Private Division, responsible for publishing games that The outer worlds, Hadesand Tales of the Shire: A “The Lord of the Rings” gamehas developed a following after consistently publishing indie hits. But with Take-Two focused on saving money and restructuring, fans have been worried about its position.

Private Division under new management may benefit the company as it no longer appears to be at risk of closure. Because Private Division retains ownership of the titles that may have caught players' attention in the first place, the company's brand will remain intact while players look forward to the next release. The next big project for Private Division appears to be its upcoming collaboration with Pokémon developer Game Freak, known as Project Bloom. Although the Private Division has not been closed, its employees can count on it Project Blooms success to help it along now that the company may not be tied to a company with the same amount of resources as Take-Two.