Cities: Skylines Studio Splits From Paradox After 15 Years

by priyanka.patel tech editor

Cities: Skylines Future Shifts as Paradox and Colossal Order Part Ways

Paradox Interactive and Colossal Order have ended their 15-year partnership, handing the reins of the popular city-building franchise, Cities: Skylines, to internal studio Iceflake Studios.

The move, described as a mutual decision “made thoughtfully and in the interest of both teams,” marks a significant turning point for the series, particularly following the challenging launch of Cities: Skylines 2 in October 2023. Colossal Order will now pursue “new creative opportunities,” while Iceflake Studios will assume full responsibility for ongoing development, including updates, the Editor, console editions, and future expansions, beginning in early 2026.

A Long and Successful Partnership Concludes

For over a decade and a half, Colossal Order has been the driving force behind the Cities series, growing it from a niche title into a globally recognized franchise with a dedicated player base. “For over fifteen years, the Cities Series and our partnership with Paradox have been a defining part of our journey at Colossal Order,” stated Mariina Hallikainen, CEO of Colossal Order. “We want to thank everyone at Paradox for their trust and collaboration, and of course the community for the incredible support that has made Cities what it is today.”

Paradox Interactive echoed these sentiments, acknowledging the depth of the collaboration. “Our partnership with Colossal Order is one of the longest-running relationships we’ve enjoyed here at Paradox,” added Mattias Lilja, deputy CEO of Paradox Interactive. “Four games, dozens of expansions, and a community of millions of Cities players; it’s remarkable how much we’ve achieved together.”

Cities: Skylines 2 Development Shifts to Iceflake Studios

The transition comes after Cities: Skylines 2 faced substantial criticism upon release due to performance issues. The planned console versions have also experienced delays, signaling development hurdles. Iceflake Studios, a seasoned developer of management games within Paradox Interactive, is now tasked with addressing these challenges and charting the future course of the franchise.

Lasse Liljedahl, studio manager of Iceflake Studios, expressed enthusiasm for the opportunity. “Taking the reins on a genre-leading franchise like Cities is an immense honour and a great responsibility,” Liljedahl said. “Iceflake has the capacity and capability to get started. We have a decade worth of experience from making city building and management games.”

Remaining Tasks and a Troubled Period for Paradox

Before fully transitioning, Colossal Order will finalize several outstanding updates, including the Bike Patch, Old Town buildings, bug fixes, and general improvements.

This developer shift arrives during a period of restructuring for Paradox Interactive. The company recently parted ways with Double Eleven, the developer of Prison Architect 2, and canceled its highly anticipated life simulation game, Life By You. According to a statement from a senior official, Paradox is now prioritizing a more disciplined approach to game development, emphasizing early feedback and a focus on its core strengths.

Official Release Trailer | OUT NOW I Cities: Skylines II

The company’s recent release of Vampire: The Masquerade – Bloodlines also received mixed reviews, with one assessment noting the game felt “hollow and functional” despite strong character performances. This series of events underscores a broader effort by Paradox to reassess its strategy and regain stability following a period of ambitious expansion.

The future of Cities: Skylines now rests with Iceflake Studios, and the community will be watching closely to see how the franchise evolves under new leadership.

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