Kabam is cutting 23 jobs at its Austin, TX studio after the decision to shut down Imperium: Galactic War.
A source familiar with the matter told Gamasutra about the cuts, which were then confirmed by Kabam corporate communications VP Steve Swasey.
"Kabam in Austin is open and doing business as usual for customer experience and live operations," he said.
While the studio remains open, Swasey says its not actually doing games development any more, and the unnamed source claimed the cuts included 20 developers, 2 QA employees, and a community manager.
Imperium was the only game in development at the Austin studio, which now employs 45 people.
Despite the layoffs, Swasey said that Kabam's team of more than 650 employees is still growing.
"One game is not being continued, and it does affect that game team," he said.
"Games have to be able to show promise and show future. If a game doesn't, then we discontinue it. That's not atypical of games companies.”
“It's sad, but you need games that are continually hits."