Sega Racing Studio has reportedly been closed down, according to a former employee of the developer.
The closure has been reported by Develop, which said the Solihull, U.K.-based studio's shutdown was effectively immediately. Also known as Sega Driving Studio, it was founded in 2005 under the leadership of Guy Wilday, eventually growing to include over 60 staff members working on multiple projects. It had only released one game, however, Sega Rally Revo for the Xbox 360, PlayStation 3 and PC that came out in September 2007 to decent review scores but only mediocre sales.
Sega has not yet commented on the reasons for the closure, or whether employees at the studio are being released or have been given the chance to move to one of Sega's other U.K. studios. More information is expected to be released soon.