Schilling's 38 Studios in Financial Difficulty, Circling the Drain

After missing its May 1st payment schedule on the $75 Million loan to the State of Rhode Island and issuing a statement that suggested that measures were being taken to shore-up the financial woes, Curt Schilling's 38 Studios has laid off its entire staff and severed its relationships with contractors as news that its recently released freshman title, the RPG Kingdoms of Amalur: Reckoning widely missed the required 3-million sales figure required for it to break-even.

[KonaBro]

Old news.
38 Studios has closed down.

[J5Feedback]

Yeah, it's over for 38 Studios unfortunately. Damn shame. When a studio releases a new IP, even one that is received as well as KOA was, and still goes under, I feel like it deters others from trying their luck with new IPs.

Which is bad. Very bad.

[NYC_Gamer]

38 studios went under because of bad business choices

[J5Feedback]

I understand that, it just doesn't look good that a developer can do as well with a game as they did and still go under. It's more sad than anything.

[--Onilink--]

what i find interesting is how poorly they planned things, who in their right minds launches a completely new IP, from a completely new dev team, this late in the console cycle and needs 3mill sales just to break even?? i mean, the game sold 1.2mill copies, which for a new IP is really good, it definitely sets the foundation for a franchise, but it seems their expectations were too high, they probably had some poor financial management during development

[Drithe]

KOA was a fantastic game. The graphics designers and artists were top notch. I had a ton of fun with KOA and hope someone picks it up.

[Bimkoblerutso]

Dude, what the hell happened? I know there have been a few vague explanations here and there, but I haven't seen a game company tank that hard that early in a very long time.

After KOA, I thought for sure they would be going places.