Bandai Namco Online is set to be by Bandai Namco Entertainment on 1 April 2025, with all ongoing operations transferring to the larger studio. The news arrives following an array of significant shut downs for Bandai Namco Online games. Most notably, the studio was set to bring major MMORPG to the West in 2024, before this version was cancelled entirely, and the game’s end of service was announced for Japan.

In the year prior, live service 6v6 shooter was also shuttered. It appears Bandai Namco has now decided to pull the plug on its online studio, 15 years after its establishment. Its remaining games – , and – will now be overseen by Bandai Namco Entertainment, likely with the same folks backing development.

Based on wording, it’s unclear whether there will be resulting layoffs from this absorption. Japan has much stricter rules around these practices, with strong employee protections baked into the legal system. It’s highly likely the Bandai Namco Online team will largely remain intact, with responsibilities integrated into Bandai Namco Entertainment.

That said, there have been recent allegations of the company using “oidashi beya” expulsion rooms to encourage staff to leave voluntarily – a claim which Bandai Namco has vehemently denied. As previously reported by , Bandai Namco Online has been in a dire state for quite some time now, with change needed to overcome significant net losses and debt. According to financial data, the studio had a financial loss of.