Note: iOS 9 + Facebook users w/ trouble scrolling: #super sorry# we hope to fix it asap. In the meantime Chrome Mobile is a reach around
hot  /  reviews  /  videos  /  cblogs  /  qposts

Kingdoms of Amalur: Reckoning

Entire staff at 38 Studios and Big Huge Games laid off

5:40 PM on 05.24.2012 // Hamza CTZ Aziz

It's a very sad day in the gaming industry, as 38 Studios has laid off its entire workforce -- including Baltimore-based studio Big Huge Games -- due to the financial turmoil the company has been in. That's 379 people suddenly without a job. Employees were notified of the layoffs with this cold internal memo obtained by WPRI:

The Company is experiencing an economic downturn. To avoid further losses and possibility of retrenchment, the Company has decided that a companywide lay off is absolutely necessary.

These layoffs are non-voluntary and non-disciplinary.

This is your official notice of lay off, effective today, Thursday, May 24th, 2012.

The issue first started when 38 Studios missed its loan payment of $1.125 million owed to the Rhode Island government earlier this month. That's just the tip of the iceberg: a studio closure would result in Rhode Island taxpayers owing up to $122.6 million between 2013 and 2020, including interest, on a loan of $75 million, as reported by Joystiq.

Rhode Island Governor Lincoln Chafee held a press conference earlier today in which he said experts told him that Kingdoms of Amalur: Reckoning, 38 Studios' first game, needed to sell "in the 3 million range" in order to break even. According to studio founder Curt Schilling, Reckoning sold 1.2 million copies in its first three months of release. To Chafee and Rhode Island, that means "the game failed."

Governor Chafee's office had been in contact with Schilling yesterday, and others at 38 as recently as today, yet had no idea that the studio had laid off its entire staff shortly before the press conference. He heard the news during the press conference when journalists raised questions about the layoffs. 38 itself has still released no official comment; it is unclear if the company is planning to declare bankruptcy. If it does go under, ownership of all of 38 Studios' IP would transfer to Rhode Island's taxpayers.

This story is developing, and we'll update as we learn more of the situation. A grassroots effort has formed on Twitter in an attempt to help former employees of 38 Studios find new work at a variety of game companies with open positions, via the #38jobs hashtag. We wish them the best of luck in finding jobs.

38 Studios lays off its entire staff [WPRI]

 Setup email comments

Unsavory comments? Please report harassment, spam, and hate speech to our community fisters, and flag the user (we will ban users dishing bad karma). Can't see comments? Apps like Avast or browser extensions can cause it. You can fix it by adding * to your whitelists.

destructoid's previous coverage:
Kingdoms of Amalur: Reckoning

View all:powered by:  MM.Elephant

Ads on destructoid may be purchased from:

Please contact Crave Online, thanks!

So that just happened: The Talos Principle

Sick, Sad and just dumb news: 25th October - Leighapalooza

Context Matters! Fanservice's Secrets EXPOSED!

To editorialize or not to editorialize: An editorial

Tiny Dangerous Dungeons REVIEW - The Pocket Metroidvania

Cblogs of 11/24/15 + Big Ass Fort

Primal Carnage: Extinction Review (PS4)

Belated Spoiler-Free SOMA Review

Friday Night Fights: The Blackest Of Fridays

Super Destructoid Community Interviews Hyper Encore ##Reload

 Add your impressions

Status updates from C-bloggers

FlanxLycanth avatarFlanxLycanth
So it seems I've locked into the Neutral ending for SMT IV and now I need to find specific challenge quests and complete them...? How (un)fun! Google is your friend - the videogame.
Riobux avatarRiobux
Interested in playing some Pathfinder? Trying to arrange a Dtoid Pathfinder group for Saturday nights (GMT) on Skype & Roll 20. If you're new to pen-and-paper RPGs, I don't mind at all and can bring you up to speed quick. Just comment if interested.
Fuzunga avatarFuzunga
Local convention had a great selection of game soundtracks 5 for $20! I got Halo 3: ODST (2 disk!), Gears of War 2, Deus Ex: Human Revolution, Darksiders 2 (2 disk!), and Castlevania: Lords of Shadow. Some of the best soundtracks of the last 7 years!
Niero Desu avatarNiero Desu
Photos and videos are back on quickposts but clipping on some devices. We're going to add a new quickpost editing interface so photos and videos can only be displayed one way (a la twitter) to solve this. Also, a My cBlog link was added to your user menu
Flegma avatarFlegma
Machine-washed my Wii Fit meter yesterday by accident. Took the battery out and let it dry for the night. Luckily the meter still worked - but it had counted a fair number of steps more that day.
Agent9 avatarAgent9
Finally killed Ludwig, now if I could only get passed the 2 hunters on the second floor. that 2 some is rather annoying,and her holy blade kills in only a few hits. wish mine was that strong.
Casus Gaming avatarCasus Gaming
After reading a blog post about DMC4 I decided to watch all the cutscenes on Youtube. Tried the games years ago and couldn't get into them, but man that shit was stylish. Likeable protagonists, intense drama... still think DmC reboot wasn't that bad tho.
lewness avatarlewness
me on 1st ff14 raid (void ark): ooh so many people and lights, so many lights, lights, fuck I can't see, what is happening, i don't understand, is it tuesday already, get on the platform fuuuuck, wow void helm
Pixie The Fairy avatarPixie The Fairy
Just a reminder that you have until the 30th to get your Bloggers Wanted post, "Thankful it's over" in. I'm either going to tell you how I ruined my best online gaming experience or rip Twilight Princess a new one. Maybe both.
Nekrosys avatarNekrosys
Huh. I just found out the developers of Hatred (remember that controversy?) region-locked their game to prevent it from being accessed by Australians. Destructive Creations are more censor-happy than Nintendo, it seems. Where's the outrage?
Oh yeah, I have an account on this site.
Parismio avatarParismio
Ever wanted to get that item behind that safe in the beginning of Fallout 4?:
Shinta avatarShinta
Got Resident Evil 4 Wii for $5. Uh ... this might be my favorite version. I'm just getting headshots nonstop. Did I miss any other Wii games that are frequently overlooked? Like, really obscure Wii games that no one talks about? I'm interested.
RadicalYoseph avatarRadicalYoseph
Poeple due not aprecciate teh hrdships of bein a squid.
OverlordZetta avatarOverlordZetta
Guys, check out your blogs! Just be sure to bring tissues. I wish I had. [img][/img]
The Dyslexic Laywer avatarThe Dyslexic Laywer
Anyone see the new Captain America trailer? It's pretty dope!
Shinta avatarShinta You're welcome.
GoofierBrute avatarGoofierBrute
Update: played through Hyper Dimension Neptunia Rebirth, reminded why I don't like the series, and requested a refund on it and its sequel. Not sure if they'll refund the sequel, but if they honor at least the first, I'll use that money to get Undertale.
Nekrosys avatarNekrosys
I hope the new Star Wars movie answers the biggest question I have about the franchise; do Midi-Chlorians poop?
OverlordZetta avatarOverlordZetta
Wow, I feel really stupid. You had to give the Zora King the bottle with the letter in it. Like actually equip the... Wow. Oh, modern gaming conveniences, how I take you for granted.
more quickposts



Invert site colors

  Dark Theme
  Light Theme

Destructoid means family.
Living the dream, since 2006

Pssst. konami code + enter

modernmethod logo

Back to Top

We follow moms on   Facebook  and   Twitter
  Light Theme      Dark Theme
Pssst. Konami Code + Enter!
You may remix stuff our site under creative commons w/@
- Destructoid means family. Living the dream, since 2006 -