Subnautica 2 Legal Battle Ends: Krafton and Unknown Worlds Settle

What the settlement confirms

According to reporting by Bloomberg (paywalled), followed up by Rock Paper Shotgun and Game Developer, Krafton and the three Unknown Worlds leaders they removed last year have agreed a settlement that ends the dispute.

The two sides have dismissed their legal claims. Krafton has agreed to pay bonuses to Subnautica 2's developers, which CEO Ted Gill says will be "compensated significantly more" than the terms originally outlined when Krafton acquired the studio in 2021.

Ted Gill steps down voluntarily

Gill was one of the three founders removed by Krafton, and he was reinstated as CEO in March 2026 via a judge's order. With the settlement now reached, he is stepping down voluntarily, stating that "new leadership is the best way for the studio to move forward." Gill told Bloomberg that a new leader from outside both Krafton and Unknown Worlds will be sought to replace him.

Who is affected by the bonuses

Originally, the bonuses were slated for Gill, fellow founders Charlie Cleveland and Max McGuire, and staff who were at the studio when it was acquired in 2021. Gill says that has now been extended to include more recent hires, with staff set to receive "further incentives" as Subnautica 2's Early Access updates continue.

What it means for Subnautica 2 development

In a statement to Game Developer, Krafton made clear that Unknown Worlds will continue to lead development on Subnautica 2, with the publisher providing support "for the success of the game." So the practical takeaway for players is continuity: the same studio keeps building the game, and the roadmap is unchanged by this news.

What it does not change

• It is not a patch, hotfix, or EA1.1 release.
• It does not change recipe, spawn, damage, route, map, or creature values.
• It does not alter the published Early Access roadmap.
• Early Access Hotfix 3 remains the latest official patch baseline, and the June 4 Swimming Forward dev vlog remains the latest EA1.1 roadmap-cadence signal.

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Source reporting: Bloomberg, Rock Paper Shotgun, and Game Developer.