RWBY in jeopardy after Rooster Teeth shutdown

The future of several animated series beloved by millions of fans around the world is in jeopardy, as Warner Bros. has announced the definitive closure of Rooster Teeth. Among those affected are the acclaimed Gen:Lock, Red vs. Blue, and RWBY.

As reported by The Hollywood Reporter, Rooster Teeth is being shut down after numerous failed attempts to sell the company. Rooster Teeth general manager Jordan Levin confirmed the news on March 6, sparking uncertainty for its roughly 150 permanent employees, content creators and voice actors associated with its series.

A statement from Warner Bros. Discovery expresses its appreciation to Rooster Teeth' innovative creators and partners, as well as the strong management team, for their many years of success. However, an internal memo obtained by Variety adds Levin's message to employees, noting that "it is with great regret that I announce that Rooster Teeth is closing due to the challenges facing digital media as a result of fundamental changes in consumer behavior and monetization on the platforms, publicity and sponsorship."

Rooster Teeth has left an indelible legacy with series such as RWBY, considered one of the greatest tributes to what is now called "western anime". Although the future of the franchise is uncertain, the company is actively seeking buyers along with Gen:Lock and Red vs. Blue.

This closure of Rooster Teeth is just the latest in a series of layoffs in the entertainment industry. Warner Bros. isn't alone in this trend, with Epic Games laying off 800 employees late last year and growing concerns about Sony's deal to manage Disney's domestic distribution.

And of course, the news did not go without comments:

"End of an era. Rooster Teeth had their share of problems, undeniably, but I hope that all the talent can find a new and stable job after this. They are good people who are passionate about what they do. I don't know to what extent this is Warner Bros.' fault or a consequence of Rooster Teeth' own internal problems (which could very well be linked to WB anyway), but in any case, Zaslav sucks."
"Partly I think this should have happened a long time ago given all the horror stories of the workers there and the revelation that RWBY was never profitable, part of me thought they would put out that last season of RWBY before they shut down. As it stands, the IP is for sale and whoever buys it will probably be better off rebooting it from scratch."
"Normally I'd totally agree, as I've always thought Red vs Blue was their only claim to fame, but Discovery has been a cancer when it comes to mismanaging, buying, and subsequently canceling everything it touches. If you're a content creator or don't give a shit about your company/workers/projects, it's been clear for a decade that you run the risk of having the rug pulled out from under you as soon as you start dealing with Discovery."
"Unfortunately, the problems that killed Rooster Teeth existed long before Warner/Discovery acquired them. I can't speak for the current employees, but I've worked with and know several who started in the mid-2000s and left around 2015. At that point they were already fine at creating videos for the twittersphere and not what the fansbase wanted. The rest.. well, it's history."
"It may be officially over now, but Rooster Teeth died a long time ago."
"Warner Bros. was on a downsizing spree a few years ago, I would assume this was part of it. I'm surprised it's taken so long."
"What does this mean for RWBY? Are they going to have to sell the IP to another company in order for them to continue with the program? I don't want to see my favorite show RWBY canceled."
"Variety's article on the shutdown claims that Rooster Teeth hadn't been profitable in a decade. It goes without saying, but that suggests his problems predate Zaslav. This is an example of a company that grew beyond its means. Rooster Teeth started out as a couple of friends who recorded silly voiceovers from video game sequences. It died as a serious attempt to be a media production/distribution company."
"I think the most chilling thing about this news is that supposedly the people who work at Rooster Teeth found out about it through social media. At this point whether you liked RWBY or not, or think it's the worst thing that's ever happened to anime in America or any other stupidity, people have lost their jobs and I wouldn't be surprised if this went through a mix between mismanagement on the part of RT, and David Zaslav's obsession with canceling and deleting a lot of WB media for tax relief."
"Those first few seasons of Red vs. Blue were absolutely seminal in my internet neophyte days. The group no longer exists except in name, but it's a shame that it's gone."
"I haven't watched RWBY since Season 3 and the show went downhill. Outside of that, the only other thing I remember seeing was Red VS Blue when it first aired and then it also went downhill over time as Rooster Teeth became more corporate and less 'some friends getting together and making videos.'"