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Krome Studios Shutting Down Monday?

by Jeff Cork on Oct 15, 2010 at 04:46 AM

After enduring three previous rounds of employee layoffs, word is spreading that Krome Studios is shutting down next Monday. The Australia-based developer, known for its work on Spyro, Ty the Tasmanian Tiger, and Microsoft's Game Room, was once one of the largest development studios in that country. The global economic crisis was blamed for at least the initial few waves of layoffs, though there some said that the studio was reeling from the effects of losing development rights on the Wii port of Star Wars: The Force Unleashed II.

According to Tsumea, once the studio is shuttered Monday, a few staff will be hired on a contractual basis to wrap up a few of the studio's remaining loose ends. The studio, which is headquartered in Brisbane, was founded in 1999.