Take-Two Interactive is reportedly shutting down two of its studios: Roll7 and Intercept Games. The former is known for Rollerdrome and OlliOlli while the latter was working on Kerbal Space Program 2.
According to Bloomberg, Take-Two will be offering severance agreements to the developers at Roll7. Additionally, since Intercept Games is based in Seattle, Washington, Take-Two is subject to the WARN act, which states that employees must be given at least 60 days notice before being laid off.
As a result, a notice was filed with the Washington State Employment Security Department today that stated Take-Two would be laying off 70 employees, which is roughly the number of people at Intercept Games.
With the studio effectively shutting down, the fate of Kerbal Space Program 2 is unclear. In a statement to Game Developer, a spokesperson said that the game's publisher, Private Division, would continue to support it. The game is currently still in Steam Early Access.
Last month, Take-Two announced that it would be cutting its workforce by about 5%, as well as cancel some unspecified projects as part of ongoing cost reductions.
This is yet another announcement of ongoing layoffs in the game industry, as the Sony-owned Firesprite let go of an unspecified number of employees yesterday, including the director of Horizon Call of the Mountain.