Confirmation has come through that both 38 Studios and Big Huge Games are no more.
As you may have heard, the Amalur developer was suffering financial difficulties as of late, but now it seems, it’s gone from bad to worse. WPRI 12 got their hands on an internal memo which confirms the loss of jobs as “absolutely necessary” due to the company suffering an “economic downturn”:
The Company is experiencing an economic downturn. To avoid further losses and possibility of retrenchment, the Company has decided that a companywide lay off is absolutely necessary.
These layoffs are non-voluntary and non-disciplinary.
This is your official notice of lay off, effective today, Thursday, May 24th, 2012.
38 Studios’ debut title Kingdoms of Amalur sold an estimated 1.2 million units – which, according to reports, was half of what was needed to recuperate dev costs. Collectively, both 38 Studios and Big Huge Games employed over 300 staff as of March 15th. We wish them all the best going forward.