Radical Entertainment, best known for the Prototype series, has been shut down. Rob Bridgett, former audio designer of the studio, confirmed the closure on Twitter with a concise message: RIP Radical Entertainment 1991-2012.
Radical Entertainment was a wholly owned subsidiary of Activision. And apparently, the sluggish sales of Prototype 2 are to blame. Although it topped NPD sales during its month of release, it managed to sell fewer than 250K copies.
Activision explained to Shacknews their decision to close the studio:
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.
Although the team has been largely gutted, the PC release of Prototype 2 will still release on time. As per Radical's Facebook page: "For PC gamers, rest assured that the PC version of Prototype 2 is still going to launch on July 24th as planned."