IO Interactive, the Danish studio behind Hitman and Kane & Lynch, let go about 30 employees this week, according to sources close to the studio.
That's the second cut to hit the studio this year, the source says, with firings hitting the studio previously in March. The developer shipped Kane & Lynch 2: Dog Days this summer. Slower sales of that title, combined that of previous titles, may be to blame, the source says.
A Square Enix representative confirmed the cuts to Kotaku, but did not specify the exact number of layoffs at IO Interactive.
"I can confirm that we have made some internal changes at IO Interactive which has regrettably resulted in the loss of some jobs," a rep said in a statement. "This is a natural part of any studio's existence when you ramp-up and ramp-down on projects to ensure you have the right level of resource and expertise within the studio. We genuinely wish those who have been affected by this, the best of luck for the future."
A project at the studio is rumoured to have been canceled alongside the layoffs.