End of the line for HotGen?

Another British development studio appears to have shut down, with Croydon based HotGen reportedly laying off its entire development staff with the exception of one team and entering liquidation procedures.

Sources we spoke to today confirmed that the development staff were laid off last week, with the remaining team only staying on to finish work on a GBA project which is near completion.

Formed in 1988, Hotgen developed titles for both home consoles and handheld devices, and was founded by Fergus McGovern - previously managing director at the hugely successful studio Probe Entertainment.

The company has had a somewhat chequered history, and although it has worked on a number of high profile titles and licenses, some of its more innovative developments - such as partnering with THQ to create NI Sports, developer of Sky Sports Football Manager - have ended in failure.

It's not known how many job losses will result from the closure of the studio, or what will happen to other projects in development, and no official statement has yet been issued by the company or its directors. Further details will be reported as they become available.

This would be the second studio closure to hit Croydon in the past year - the town's other large studio, Crawfish, shut down last year after suspected difficulties with a publishing contract.