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Layoffs hit video game developer Flagship Studios? [UPDATED]

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Video game developer Flagship Studios, creators of the game Hellgate: London, has apparently been hit by a big layoff.

The company hasn’t released any official statements yet but according to someone allegedly close to the situation “nearly everyone” has been laid off.

The company was founded by former Blizzard North employees including Bill Roper, Max Schaefer and Eric Schaefer, original developers on the Blizzard game Diablo.

Hopefully we’ll hear something official soon.

UPDATE: Looks like it’s true. Employees were told in a company meeting that the offices would be closed Sunday. All staff has been let go and three of the companies top execs are paying employees for an additional 30-days out of their own pockets.

What about the games the studio was working on?

Korean company HanbitSoft has rights to the Mythos IP and Hellgate: London IP goes to Comerica.

Thanks VE3D for the additional info.

[Via Joystiq]

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