Nihilistic Software, developer of Black Ops Declassified and Resistance Burning Skies, is to quit retail game development to focus on digital and mobile games, the studio revealed on its website.

As part of the change in focus, the studio will be renamed nStigate Games and expects to shed some staff in the next couple of months.

"There's no bigger cliché in the videogame industry right now than to say that a studio is re-organising itself away from retail game development and toward the new challenges of downloadable and mobile games," said the studio.

"Everyone knows retail sales are down, publishers are hurting, independent developers are suffering, blah blah blah. With this in mind, Nihilistic is announcing today that (OMG!) we are re-organising our company after 14 years of working with retail boxed game development, and re-forming as nStigate Games, a new company focused on downloadable, on-line, and mobile games.

"So is this newsworthy? Well, honestly it probably isn't, except that we are making this transition without any planned layoffs or leaving any debts behind. Nihilistic will fade into the sunset the way it started; a collaboration of talented folks dedicated to transparency and respect for employees. Over the next couple months we'll get leaner as some of our talent finds new homes, and emerge as a smaller and more focused company.

"The future for nStigate is yet to be written, but the history of Nihilistic is coming to a close. We thank all the people who have worked here over the last 14 years. It's been a privilege and a joy to serve our players for the past years."