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THQ has confirmed to GameSpot that it has closed five of its studios and laid off staff at both Rainbow Studios and Juice Games.
The studios to get the chop included Paradigm Entertainment (Stuntman Ignition), Mass Media (Full Spectrum Warrior), Helixe (de Blob on DS), Locomotive Games (Destroy All Humans! Big Willy Unleashed), and Sandblast Games (Destroy All Humans! Path of the Furon).
The number of layoffs at Rainbow Studios (currently finishing development of Deadly Creatures) and Juice Games (Juiced) has not been confirmed.
“It’s just constantly trying to react dynamically to the market,” a THQ spokesperson told GameSpot. “Whether it’s because of things happening to our industry or the economic environment as a whole. It’s making sure that we’re set up over the next three to five years to be profitable and successful.”
The number of project cancellations related to the studio closures and staff layoffs is unknown.
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