Tech2 Interactive, the company behind games like Grand Theft Auto V, also acquired mobile giant Zynga in 2022 in the second largest deal in gaming history, along with Roll7 and Intercept Games, Rollerdrome and Kerbal Space Program 2, respectively. The studios behind have been closed. . After a report by GameDeveloper.com indicated that Take Two was laying off 70 people at Intercept Games, Bloomberg released a report confirming that Take Two is shutting down both Intercept Games and Rule 7.
The publication reports that Take Two is closing London-based Rule 7 and offering to part with staff. A notice filed with the Washington State Employment Security Department shows Take Two plans to close a studio with 70 employees in Seattle, which is in line with the number and location of Intercept Games’ employees.
While Take Two has not yet addressed the outages, it did make the following statement. IGN About the layoffs and the status of Kerbel Space Program 2, which launched in early access last year.
“On April 16, Take Two announced a cost reduction program to identify efficiencies across the business and increase the company’s margin profile while investing in growth. As part of these efforts, , the company is rationalizing its pipeline and eliminating several growth projects and streamlining its organizational structure, which will reduce headcount and reduce future employment requirements. The company is not providing additional details.
“On April 18, Private Division successfully launched Moon Studio’s No Rest for the Week. The label continues to update Kerbel Space Program 2 and Wētā Workshop Game Studio’s Tales of the Shire: A Lord of the Rings. Plans to release the game in the second half of 2024.”
The closures come about a month after Tech2 announced it was laying off 5% (579 employees) across its various companies while canceling work projects. The publisher also acquired Gearbox Entertainment in late March. Roll7 won a BAFTA award for Rollerdrome last year and also produced 2022’s OlliOlli World.