The lights are on
Update: Rhode Island governor Lincoln Chafee has confirmed that the developer has laid off some of its employees. An exact number has not been given.
Given that the studio has not met its payroll, unfortunately this isn't surprising.
It'll be interesting to see if these layoffs mean that 38 Studios will default on the state's original loan stipulation that the developer had to create a minimum number of jobs in the state.
It was announced this afternoon that 38 Studios has paid the state of Rhode Island the $1.25 million it owed earlier this month.
Yesterday, Curt Schilling (pictured above) delivered a check, but it lacked funds to pay it. Gov. Lincoln Chafee said today the check has now cleared. It was revealed yesterday 38 Studios did not make payroll for the week. As of now, Chafee says they have still not paid their employees and estimated that it costs over $4 million a month to operate 38 Studios.
Chafee also said at the press conference the upcoming MMO, Project Copernicus, is slated for release in June 2013.
Schilling said on his Facebook page late yesterday, "To all the prayers and well wishes to the team and families at 38, God Bless and thank you! We will find a way, and the strength, to endure."
38 Studios' next payment of $2.6 million is due on November 1, 2012. The governor said he believes they'll be able to make it.
Yay!, I was really hoping they'd pull through.
Well, best of luck to them, I guess. But I don't really see how they can get out of this unless someone bails them out.
Let's hope they can pay their workers and survive this mess.
Oh crap, that reminds me I still owe Rhode Island $25!
As long as Curt is passionate about video games he will keep them a float.
Geez, that's bad news. I hope that they get to keep chugging on and push out another product soon.
They pay out 48 million per year in operating costs alone? That's a substantial amount for an unfounded company with no real brand recognition to back them.
It's sad, b/c I believe that Schilling's personal fortune was tied into this thing...
Good, but if there having problems this early how long could they possibly last?
I seriously hope they learned from this. Seems they are starting out way too big too soon. I hope they survive. The talent and potential re there but it means nothing if it is not managed well.
i think i might have seen that man driven round town with the girl i love...forget you!
Love the lack of support from the fans........come on, everyone!! lets rally for 38 Studios!!!