We're hearing numerous reports via Twitter and other sources that Visceral Games in Melbourne are closing down. First noted via Screenplay's tweet, and followed up via further Twitter correspondences from @IGDAMelbourne...
Visceral Games Melbourne studio has closed its doors according to a Screen Play poster. #morebadnewsforozgamesindustry
Just got another message that @VisceralGames Melbourne studio closing on Monday. Seems legitimate.
@screenplayblog I'm hearing Visceral are meeting on Monday with HR whether it's closure then or some redundancies first remains to be seen
Visceral Games in Melbourne had a hand in developing Dead Space, Godfather 2, and Dante's Inferno. A job ad describes the EA owned studio as "currently working on the critically acclaimed Dead Space franchise, an unannounced AAA title based on new intellectual property and core tools used throughout EA."
And unnamed source has confirmed to Kotaku AU that the studio was working on a AAA title game for the Xbox 360 and PS3 for the last three years, however it was deemed unprofitable by vice president of EA's Games Label, Patrick Soderland (also from Dice). Soderland has therefore decided to pull the plug on the studio and the game.