August 11, 2008
Midway Games Cancels Project, Lays Off Austin Staff
Nearly 100 employees in the Austin office of Midway Games lost their jobs today as the company canceled an "as-yet-unannounced project" in production at the local facility.
According to a statement from the Chicago-based company, the Austin studio will remain open, but today's layoffs affected 90 of the 130 people currently working there.
Midway has developed and published such games as TNA iMPACT!, Blitz: The League II, and Mortal Kombat vs. DC Universe.
According to the gaming blog Gamasutra, Midway has "struggled with profitability after expensive next-gen technology transitions, and has had some notable sales underperformances -- including Blacksite." Some top executives at the company's Chicago studio resigned last week.
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