Telltale, Acclaimed Maker of Story-Based Video Games, Lays Off Most of Its Staff

Telltale Games, an independent developer and publisher that championed narrative in video games through its characters’ conversations and quandaries, laid off most of its staff on Friday, the company said.

Telltale created point-and-click adventure games based on well-known entertainment properties like “The Walking Dead,” “Game of Thrones” and Batman. The games could be bought piecemeal as each $5 episode was released — usually two to three months apart — or, eventually, all at once.

The studio had leaned on licensing since it was founded in 2004, with early games based on comic book series like “Sam & Max” and “Bone,” and eventually movies such as “Jurassic Park” and “Back to the Future.”

Its departure from the industry would be a blow to storytelling in video games that does more than fill the gaps between gunfights. What appears to be the sudden cancellation of Telltale projects — including one that has been partially published — has upset fans.

“We released some of our best content this year and received a tremendous amount of positive feedback, but ultimately, that did not translate to sales,” its chief executive, Pete Hawley, said in a statement on Friday.

Telltale did not reply to requests for comment.

The studio’s breakthrough came in 2012 with its game The Walking Dead, which had players make difficult moral choices in a zombie-infested universe.