Silicon Knights claims to be alive and kicking following its legal battles with Epic Games. The Eternal Darkness and Metal Gear Solid: Twin Snakes developer is in the process of licking its wounds after receiving an order to pay $4.45 million in damages and destroy all unsold copies of Too Human and X-Men: Destiny.
Silicon Knights chief financial officer Mike Mays tells Polygon the studio is "very busy" and "definitely alive." The developer has not filed for bankruptcy, despite having reportedly laid off the vast majority of its staff last year.
Company founder Denis Dyack is among those that have jumped ship, having joined his former Silicon Knights employees at Precursor Games to develop the crowdfunded spiritual successor to Eternal Darkness, Shadow of the Eternals.
Silicon Knights isn't just operating on a skeleton crew; the company has sold off a number of its assets including its Ontario offices and technical equipment, some of which were purchased by Precursor Games.
Precursor CEO Paul Caporicci told Polyon his company "has no connection with Silicon Knights" and is merely "trying to turn a tough situation into something positive."
Epic Games filed motions following the transfer of computers from Silicon Knights to Precursor Games last summer, requesting verification that the hard drives were formatted. Caporicci asserts his company purchased "completely wiped clean machines" and "there is no basis for any liability or any claim against Precursor Games."
The conclusion of Silicon Knights' legal drama with Epic Games is currently pending appeal.