The North Carolina studio had been developing a title based on the G.I. Joe franchise.

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Hasbro has closed Atomic Arcade, its internal video game studio established in 2021. The North Carolina-based studio was developing a G.I. Joe game focused on Snake Eyes. Multiple employees confirmed the closure through LinkedIn posts, though the exact number of layoffs remains unclear. The studio's former head, Derek Racca, moved to a production role at Wizards of the Coast in February 2026.

Report: Hasbro shutters internal video game studio Atomic Arcade