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‘Aliens: Colonial Marines’ studio reportedly liquidated after laying off its entire staff

E3 2012: Hands on the with the Aliens: Colonial Marines multiplayerTimeGate Studios, the developer behind the controversial (and really, really bad) Aliens: Colonial Marines, has reportedly laid off its entire staff and been liquidated after filing for Chapter 11 bankruptcy last week, according to Kotaku. The studio is currently engaged in an ongoing lawsuit with publisher Southpeak Interactive, which reportedly won in arbitration and got TimeGate’s Chapter 11 changed to a Chapter 7 liquidation. The studio’s entire staff was laid off and sent home early today.

TimeGate was hit with layoffs in March following the release of Aliens: Colonial Marines, a game panned by critics and consumers alike. But the studio was showing off a new game, a minimalist shooter called Minimum, at the Game Developers Conference at the end of March. The game was created after a competition at the studio, where all employees were encouraged to submit a game concept. Minimum was meant to be a simple game that highlighted creative development over big budget, but it seems unlikely that we will ever see that game now. 

TimeGate has yet to issue an official statement on the reported layoffs.