Company says that it has a new project in development

Jun 12, 2012 06:42 GMT  ·  By

Developer Silicon Knights has confirmed that it has laid off some staff but refused to state whether the company is dependent on Nintendo when it comes to its near future.

Dennis Dyack, who is the leader of Silicon Knights, told Games Industry, “Silicon Knights has unfortunately had to lay off a small number of people. We are scaling back to a core group and focusing all our efforts on future opportunities.”

He added, “As to the rumor about Nintendo, it is not true and has no basis in fact.”

Silicon Knights has recently lost its lawsuit against Epic Games over the use of the Unreal Engine 3 and the losses that happened when Too Human was launched.

Since then reports have suggested that the team was working with Nintendo on a sequel to Eternal Darkness and that its entire future depended on its success.

Neither Nintendo nor Silicon Knights has confirmed the existence of the new game.