Rooster Teeth, the entertainment division known for its fandom, gaming, and comedy content, is facing an unfortunate end after more than two decades. Parent company Warner Bros. Discovery has made the difficult decision to shut down Rooster Teeth's operations, as attempts to sell the unprofitable division have proven unsuccessful. This closure will result in the layoffs of approximately 150 full-time employees, leaving many contractors and content creators without work.
The announcement of Rooster Teeth's shutdown came from RT general manager Jordan Levin, who shared the news during an all-hands meeting and through a memo circulated among staff members. In the memo, Levin expressed his sadness and attributed the closure to the challenges that digital media is currently facing, including shifts in consumer behavior and monetization across platforms, advertising difficulties, and changes in patronage. He also recognized the significant impact Rooster Teeth has had, describing it as more than just a collection of content but a history that has left an indelible mark on screens, minds, and hearts.
As part of the shutdown process, Warner Bros. Discovery is in discussions to sell the rights to certain Rooster Teeth catalog content and intellectual property. This includes popular series like "RWBY," "Red vs. Blue," and "Gen:Lock." Additionally, the company is exploring options to sell the Roost podcast network, which will continue its operations for the time being.
Warner Bros. Discovery expressed gratitude towards Rooster Teeth's creators, partners, and management team, acknowledging their years of success and the dedicated fanbase they have cultivated.
Rooster Teeth was founded in 2003 by Burnie Burns, Matt Hullum, Geoff Ramsey, Jason Saldaña, Gus Sorola, and Joel Heyman. Over the years, the company underwent multiple ownership changes before becoming part of Warner Bros. Discovery. Rooster Teeth gained popularity as an internet-video destination, even predating platforms like YouTube. Its animated comedy series "Red vs. Blue" became a viral sensation in 2003, popularizing the concept of machinima. The company's name was inspired by dialogue from the original "Red vs. Blue" trailer.
Throughout its existence, Rooster Teeth has faced various challenges and controversies. In 2022, the company issued an apology for past instances of "hateful and hurtful" behavior towards employees. These difficulties, combined with the inability to turn a profit, have ultimately led to the decision to shut down.
Rooster Teeth operated a subscription video-on-demand service called First, which reached its peak with approximately 225,000 paying members during the height of series like "RWBY" and "Gen:Lock." However, the subscriber count has declined to around 60,000 today. Warner Bros. Discovery will be communicating directly with subscribers regarding the shutdown of the service in the coming weeks.
Despite the challenges faced, Rooster Teeth has made a lasting impact on the media industry. The company's creativity and innovation in animation, comedy, and gaming have garnered a passionate fanbase. Rooster Teeth has also ventured into video games, comic books, and community-driven experiences.
As Rooster Teeth prepares to wind down its operations, it is essential to celebrate the 21-year contribution the company has made to the media industry. The legacy of Rooster Teeth will be remembered, and its influence on culture will continue as its talented individuals embark on new creative journeys.
