38 Studios lays-off its staff

38 Studios and Big Huge Games have announced that they are laying off their entire staff via an internal memo.

Employing 379 full-time staff, the studio sent out the following memo:

“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.”

The bad news came just a day after 38 Studios’ CEO Jen MacLean and senior VP of product development John Blakely parted ways from the company.

Figures were released later on to confirm why the company has gone backwards; their only title Kingdoms of Amalur: Reckoning needed to sell 3 million copies in order for the company to simply ‘break even’. It turned out that the game sold 1.2 million copies in its first 90 days.

The industry has, however, shown its support for those affected by trending #38jobs on Twitter but this is little consolation for those who have lost their jobs.

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