UK developer 22cans has suffered a round of redundancies, GamesIndustry.biz has learned.
The studio, founded by Fable creator Peter Molyneux, has laid off multiple employees, although an exact figure has not been disclosed.
A spokesperson said: "Unfortunately, due to a number of factors including projects reaching a certain stage in their development, we can confirm that a number of roles at 22cans have been made redundant.
"Development at the studio is continuing, however."
GamesIndustry.biz also understands there will be some support in helping affected staff find new employment.
22cans was founded in 2012 by Molyneux and has released four games to date, including god sim Godus and survival adventure The Trail.
It is currently working on management sim Legacy for PC, with no current word on a release date.