Chinese studio Lilith Games has laid off around 40 of its 100 employees.
According to Youxi Chaguan and GameLook and spotted by PocketGamer, the job losses follow a lukewarm beta test period of its life sim, Project Party, earlier this year.
Some local reports also allege the game's producer was also cut from the project.
Whilst the game has not been cancelled outright, it is reportedly set to be retooled by the 60 or so staff still employed at the studio.
Lilith Games was founded in 2013 in Shanghai, China. Its first game, Soul Hunters, was released in 2014, and it expanded into publishing and game development in 2016.
Lilith Games launched its own publishing brand, Farlight Games, back in 2022.
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