Eutechnyx announces another round of lay-offs, staff reportedly working on The Division for Ubisoft

Auto Club Revolution and NASCAR developer Eutechnyx has confirmed that it has issued another round of lay-offs. The Gateshead studio let 12 people go, while sources claim that some remaining members of the team are now assisting Ubisoft on development of The Division.

Eurogamer reports that CEO Darren Jobling confirmed the move in a statement.

It reads, "We're now developing more new IP and entering new and emerging markets. All of this requires a restructure of how we focus our efforts internally, and sadly, last week, 12 people left us as part of that restructure. We continue to employ 130 people and recruit for these new areas that we are working in.

"This week we're launching three titles and over the next week or so we'll be announcing a major initiative involving China. The changes that we are making to our business are adjustments we think the majority of developers are going to have to make over the coming years to reflect the changes in markets and playing patterns.

"As a result, Eutechnyx is in a stronger position to focus on growth within the new and emerging markets that we have identified."

The site adds that some staff are now on loan to Ubisoft Reflections to assist with development of Tom Clancy's The Division. It understands that the same thing happened back in June, although the loaned staff had no jobs to return to at Eutechnyx following their temporary transfer.

An unnamed source within Eutechnyx has suggested that the company's free-to-play racer Auto Club Revolution hasn't performed as expected, and that the future of its NASCAR series hangs in the balance.

Eurogamer also understands that tower defence game Warhammer 40K: Storm of Vengeance is still in development.

We'll have more on this one as it develops.