Sega has cancelled Creative Assembly's upcoming title Hyenas due to "structural reforms."
The news was announced via a statement on Sega Sammy Holdings' website, with the company citing a "rapidly changing business environment" as the reason behind the restructuring, specifically mentioning a decline in "stay-at-home demand [during] COVID-19" and an ongoing economic downturn in Europe due to inflation.
Other unannounced games have been cancelled too, though the firm didn't clarify from which studios.
Sega expects to record losses of approximately ¥14.3 billion ($95.7 million) for the fiscal year ending March 31, 2024, it added.
"In response to lower profitability of the European region, we have reviewed the title portfolio of each development based in Europe and the resulting action will be to cancel Hyenas and some unannounced titles under development," the company's statement said. "Accordingly, we will implement a write-down of work-in-progress for titles under development."
Reporting on the news, Eurogamer said that layoffs are expected. GamesIndustry.biz reached out to Creative Assembly for comment.
Sci-fi first-person shooter Hyenas was announced in June 2022 and only recently finished its closed beta. It had been met with largely positive reviews and was due to release this year.
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