Rumors are circulating that Factor 5 (Lair, Rogue Squadron, Turrican) is totally shutting down. This comes shortly after last week's rumor that the company was laying off half of its staff. The latest information comes from an anonymous source that contacted IGN's Matt Casamassina through an intermediary. The messenger of the bad news wrote:
Factor 5's decline was due to a combination of...uhm...factors: an underperforming game in Lair, the rough economy, and the collapse of Brash Entertainment. As many of you know, Factor 5 was developing a Superman game for Brash. When Brash went down, Factor 5 likely lost a great deal of immediate income.
For the record, I originally heard about the news while playing Uno on Xbox Live with some gaming-industry big-shots. Yes, my Saturday night was kind of lame (but the virtual company was good). Thanks for the tip "G"!