Activision has let go of the Deadpool development team at High Moon Studios with "40 full-time employees" affected globally, according to Kotaku.
"Activision Publishing consistently works to align its costs with its revenues — this is an ongoing process," Activision said in statement provided to Kotaku. "With the completion of development on Deadpool, we are taking a reduction in staff at High Moon Studios to better align our development talent against our slate.
"Approximately, 40 full-time employees will be impacted globally. We are offering those employees who are impacted outplacement counseling services."
According to the official website for the studio, the team had about 100 people in its Carlsbad, Calif. offices.
The High Moon Studios reduction comes shortly after the news that Square Enix LA was hit with more layoffs tonight.
The Deadpool series was created by Rob Liefeld and the video game is written by the series author — at the time of development — Daniel Way. Veteran voice actor Nolan North will voice the Deadpool character.
Deadpool was announced in July of last year at the 2012 San Diego Comic Con. Published by Activision, it is slated for release this Summer for and 3.
Polygon has reached out to Activision for comment and will update this story as more information comes to hand.
Update: An Activision spokesperson issued Polygon with the same statement.