According to The Esports Radar, Team Liquid has begun another round of layoffs. The publication’s sources, who are familiar with the situation, claim that the layoffs have affected employees across several divisions of the organization.
This marks Team Liquid’s third major restructuring in the past year. Previous rounds of layoffs at the club were reported in September 2025 and March 2026.
Why the Organization Is Making These Decisions
According to sources, one of the reasons for the latest round of layoffs was a shift in Team Liquid’s financial projections. The organization revised its revenue expectations in light of the macroeconomic situation and changes in the distribution of commercial investments within the gaming market.
The club’s financial outlook was likely also influenced by its performance at major tournaments. In 2025, Team Liquid earned $4 million for winning the EWC, but in 2026, it finished only fifth and earned $2 million.
Among the factors affecting the organization’s commercial position is the termination of its long-standing partnership with Honda in May 2025. The partnership ended following a controversial post by a player on Team Liquid’s Rainbow Six Siege roster. According to one source, this situation marked a significant turning point, after which the organization entered a period of growing uncertainty.
As the same publication notes, the aftermath of that incident remains a sensitive topic for current and former Team Liquid employees.
The extent of the layoffs remains unknown for now
It is currently difficult to determine the exact number of Team Liquid employees who have been laid off. Some contracts across the organization’s various divisions remain in effect through the end of September, so the final extent of the layoffs has not yet been determined. Employees were notified of the layoffs on Wednesday, August 26.
Internal communications mentioned that affected staff would receive a support package. At the same time, according to sources, contractors and employees with expiring contracts will be paid only for the hours they actually worked.
Team Liquid has not yet commented on the situation. The organization did not respond to a request from The Esports Radar regarding the layoffs and internal restructuring. The publication continues to investigate the extent of the layoffs and plans to release additional details.
At the same time, this new wave of layoffs is taking place against the backdrop of fairly strong financial performance. In May 2026, Team Liquid co-CEO Steve Arhanset reported that the organization had earned over $60 million in the previous year and that its business had remained profitable for three consecutive years.