Activision has decided to shut down Vancouver-based Radical Entertainment, known primarily for their work on the Prototype and Scarface games.
Although we made a substantial investment in the Prototype IP, it did not find a broad commercial audience. Radical is a very talented team of developers, however, we have explored various options for the studio, including a potential sale of the business, and have made a difficult conclusion through the consultation process that the only remaining option is a significant reduction in staff. As such, some employees will remain working for Radical Entertainment supporting other existing Activision Publishing projects, but the studio will cease development of its own games going forward.
Activision has said it will be retaining some personnel to work on other projects, but that the studio itself will not be working on its own game properties. Best of luck to those affected, and thanks to Kotaku for the heads up.