Animation, comedy and gaming studio Rooster Teeth, owned by Discovery Warner Bros.is stopping.
“Since AT&T inherited ownership and control of Rooster Teeth through its acquisition of TimeWarner, Warner Bros. Discovery continued its investment in our business, our content and our community. It is with a heavy heart that I announce the closure of Rooster Teeth due to the challenges facing digital media resulting from fundamental changes in consumer behavior and monetization across platforms, advertising and sponsorship,” writes Jordan Levin, general manager of Rooster Teeth.
As part of the shutdown, the Roost Podcast Network, which contains more than 80 podcasts, will remain operational as WBD seeks outside interest to acquire the network. Additional IP such as Red vs. Blue, RWBY And Gen:LOCK, “remain under discussion,” the company said.
The company, headquartered in Austin, Texas, was founded in 2003 and began with the launch of the web series Red versus bluebased on the video game Halothen evolved to include the podcast network, as well as the animated web series RWBY and the streaming series Generation: LOCK, with Michael B. Jordan voicing a main character. The studio last said it had 150 employees, but it's still unclear how many would be affected, given sales potential and some contractor positions.
“Every story reaches its final pages. Rooster Teeth's closure isn't just an end; this reflects broader business dynamics. Monetization changes, platform algorithms, advertising challenges, and the ebb and flow of patronage – all of these converging factors have led to many closures in the industry,” Levin wrote.