Scores of developers have reportedly been laid off at Gameloft Tokyo.
Gamasutra reports that the layoffs have been made just weeks after the studio released its first game, mobile puzzle RPG Magna Memoria. The game’s poor performance is believed to be the cause of these job cuts.
Up to 80 employees have allegedly lost their jobs, according to one of the affected developers. Staff were dismissed between June and August while the studio shut down a major chunk of its production department.
Another source claims the decision was made two weeks after Magna Memoria’s launch by Gameloft’s Paris headquarters.
"Following 1.5 years of development with steady overtime, with a final release rush crunch time of about 4 months,” the source claimed. “We were told that the game was performing below expectations, and as a result was stopped, and the production department would be closed.”
It is estimated that only 11 people remain at Gameloft Toyko to handle admin.