Rovio Restructures After Angry Birds Dream Blast Underperforms; Layoffs and Sega Integration Detailed

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Published on: October 21, 2025

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Rovio Announces Layoffs and Restructuring Following Underperformance of Angry Birds Dream Blast Rovio, the acclaimed mobile game developer renowned for the Angry Birds franchise and Sega-collaborated titles such as Sonic Rumble, has announced a significant studio restructuring and a wave of layoffs.

According to a recent report by industry outlet MobileGamer.biz, the changes come on the heels of Angry Birds Dream Blast underperforming against expectations, marking a pivotal moment for the company as it furthers its integration with its parent company, Sega. Background: Rovio and Sega’s Strategic Partnership Rovio, established as one of the most recognizable mobile game developers, became a Sega subsidiary in April 2023 after an acquisition deal valued at $776 million.

The move was aimed at amplifying Sega’s footprint in the mobile gaming sphere while leveraging Rovio’s signature expertise in puzzle and casual game design.

Since the acquisition, Rovio has collaborated on notable Sega projects, including Sonic Rumble and Sonic Blitz, all while managing its extensive Angry Birds portfolio. Restructuring Details and Studio Impact In a statement to MobileGamer.biz, a Rovio spokesperson explained, "While no games have been canceled, Angry Birds Dream Blast has unfortunately not met performance expectations.

We have been reorganizing our teams this autumn in direct response to this result and to enhance our capability for fast iteration and a more game-centric approach." As part of this restructuring, Rovio will reduce staff by 36 positions, with the Finnish puzzle game division narrowing its development focus and the Barcelona office assuming increased responsibilities.

The spokesperson further clarified, "Alongside these changes, we are also updating our management structure to reflect our status as a non-listed company and deepening our alignment with Sega.

This reorganization has resulted in modified roles, the creation of new positions, and the difficult decision to make 36 roles redundant." CEO Visits and Transition Support Industry reports have also highlighted that Rovio CEO Alexandre Pelletier-Normand has been visiting different Rovio branches to help facilitate the transition and support affected staff during this period of change. Rovio’s Ongoing Commitment to Game Innovation Despite the setbacks, Rovio remains dedicated to developing both new titles and fresh iterations within its portfolio.

At the time of writing, no projects have been canceled, signaling continued investment in innovation and player engagement from the company. Continued Sega Collaboration and Mobile Game Leadership With joint efforts like Sonic Rumble, Rovio’s partnership with Sega reinforces both companies’ aspirations in the competitive mobile market.

This restructuring signifies Rovio’s strategy to streamline operations and strengthen its position amid rapidly changing market dynamics. For readers interested in more updates from major mobile game studios and developments on crossover titles across platforms like the Nintendo Switch and eShop, stay tuned to our Nintendo and industry coverage.

Sega Angry Birds Rovio Sonic Sonic Rumble developer Angry Birds Dream Blast MobileGamer.biz Barcelona Finnish studio Alexandre Pelletier-Normand

Angry Birds and Sonic Rumble developer Rovio hit with layoffs as Angry Birds Dream Blast underperforms