Epic Games is closing Maryland-based Impossible Studios and has delayed development on Infinity Blade Dungeons, the company announced today.
Epic Games' Tim Sweeney announced the studio's closure in a post to Epic's official website.
"When former members of Big Huge Games approached Epic last year, we saw the opportunity to help a great group of people while putting them to work on a project that needed a team," Sweeney wrote. "It was a bold initiative and the Impossible folks made a gallant effort, but ultimately it wasn't working out for Epic."
Sweeney wrote that Impossible Studios employees would be provided with three months of severance pay, as well as allow them to use the Impossible Studios logo and name in the formation of a new company.
Infinity Blade Dungeons has been put "on hold" as the company discusses the project's future.
Impossible Games was formed last August in the wake of the 38 Studios closure, largely of former employees of Big Huge Games. The studio was formerly titled Epic Baltimore before being renamed in late August. Infinity Blade Dungeons was formerly under development at Epic's North Carolina-based branch.
When contacted, a representative for Epic Games declined to comment.