Summary
Velan Studios, an American video game studio that previously worked onMario Kart Live: Home Circuit, has given layoff notices to a third of its staff, the company has revealed. The developer has worked with other big companies and brands in the past, such as Electronic Arts andHot Wheels.
Velan Studios was founded in late 2016 by brothers Guha Bala and Karthik Bala, both of whom had previously founded and worked at Vicarious Visions - now known as Blizzard Albany. The New York-based developer’s debut title wasMario Kart Live: Home Circuit, a mixed reality racing title for the Nintendo Switch that was launched in 2020, and it has released two other games since then. The indie game company is now going through a rough patch that will likely result in the downsizing of its staff.
In a statement, Velan Studios revealed that it has sent layoff notices to 46 of its 121 team members as part of a reorganization effort. An unnamed external partner suddenly canceled one of Velan Studios' major projects, which has made it difficult for the latter to maintain its current size, according to the company. This development follows severalrecent layoffs in the video game industry, including those from big names like EA and Sony.
Velan Studios hopes to rescind as many of the layoff notifications that it sent out as possible, the statement signed by the Guha brothers read. Meanwhile, the company, which released thewell-likedHot Wheels: Rift Rallyaugmented reality gamea little over a year ago, promised to do its best to support any employees who might be affected by the reorganization that is still currently in its early stages.
Games Developed by Velan Studios
As for its projects, Velan Studios said it would double down on its current games, some of which are scheduled to release this year. The company is also securing new partnerships to minimize the impact of its reorganization. In addition to working with Nintendo onMario Kart Live: Home Circuit, Velan Studios also partnered with EA in the past to makeKnockout City, a competitive online title that tried to reimagine dodgeball. While it was well received,Knockout Citywas shut down on July 13, 2025, as Velan Studios found it difficult to keep the game running.
All three of Velan Studios' releases have been praised for being innovative game experiences.Mario Kart Live: Home Circuit, which is the latest entry in Nintendo’s long-runningMario Kartfranchise, received nominations from The Game Awards, D.I.C.E. Awards, and the Academy of Interactive Arts & Sciences. Even years after its release, players have foundnew ways to playMario Kart Live: Home Circuit.
Mario Kart Live: Home Circuit
WHERE TO PLAY
Turn your home into a Mario Kart course of your designPlace gates and customize courses in the real world, then see them come alive with different in-game environments like jungles and snowscapes and obstacles like Piranha Plants. Use objects from around the house to customize your courses and add challenge, then watch the game transform your home into the Mario Kart world.Zoom around the house with up to three friendsBring along some friends to race around your custom course in Custom Race or Grand Prix!The magic of augmented of reality doesn’t just mean you’ll see your course and opponents come alive on screen. Hit a boost in the game? Watch as your real-life Mario Kart speeds up. Get hit by a Green Shell? Look out, because your kart will slow down! If you’re worried about straying too far from the course (or your living room), Smart Steering will help guide you along.The races you progress through in Grand Prix mode are varied—the windy environment might push your kart to the side, while the in-game Piranha Plant gate will bite you if you pass through the wrong side. As you play, you’ll unlock more speed settings, costumes, environments and more! These can all be used when you want to create your custom course. Even Rainbow Road makes an appearance!
