Lightbox Interactive has laid off 24 employees as part of changes to its development focus, Develop has confirmed.
Rumors circulated today that the Austin studio, known for console games like Warhawk, War of the Monsters, and Twisted Metal Black, was laying off employees and might be shutting down.
"LightBox Interactive is NOT shutting down," said company president Dylan Jobe.
"However today (October 17th) I told 24 of my team members that Friday would be their last day and that all 24 of them would be receiving a severance package."
Jobe says the move was prompted by the decision to exit the traditional console market in favor of iOS development, ending a multi game partnership with Sony Computer Entertainment America.
"LightBox Interactive has been very lucky to work with SCEA and especially Santa Monica Studio, said Jobe.
"They're an amazing team and I can honestly say that we improved as a studio as a direct result from having worked with them."
The new strategy begins on Monday, but the transition cannot be an easy one for the small team, which the website numbers at just 45.
The layoffs confirmed today cut that number by half.
For those who remain, the sad tidings may signal a bright future in one of the fastest growing sectors in the industry.