Dozens of employees at Capcom’s Vancouver office have been laid off according to an article on Kotaku. The company’s downsizing efforts also included reducing the scope of the next Dead Rising game currently in development as well as outright canceling a title that has not yet been announced.
The canceled game was described as a third person action title set in an alternate reality version of New York City. This description suggests the canceled game may have been Knights of Aegis. The Dead Rising title was said to be overly ambitious without a sufficient number of employees assigned to the project.
It is estimated that about 50 people at Capcom’s Vancouver office were laid off. That number represents approximately 20% of the staff who worked at that location.