Sega has announced it will make 121 redundancies at Company of Heroes developer Relic Entertainment.
Sega says it is restructuring the studio to focus on core franchises, including the Company of Heroes series. Company of Heroes 3 launched on PC in February and arrives on consoles this month.
The Vancouver-based studio is also known for the Warhammer 40,000: Dawn of War series, and in 2021 it developed Age of Empires 4 for Microsoft.
Sega said in a statement: "At a time where external factors are impacting our industry more than ever, the difficult decision to restructure has been made to ensure that maximum focus can be placed on Relic's core franchises.
"Sega is in a healthy financial position and remains fully committed to supporting and investing in Relic Entertainment and the franchises it is responsible for, including the critically acclaimed Company of Heroes series. We're confident that following this necessary restructure, the studio will be in a position of strength to continue delivering outstanding experiences to players all over the world.
"Making decisions like this is incredibly difficult, and as a studio that treasures its people and is proud of the culture it's grown, the focus is on supporting departing employees with career transition services and severance packages. We would like to offer our sincerest thanks to each of them for the part they've played in helping Relic Entertainment's projects achieve global renown."
Sega acquired Relic in 2013 following the bankruptcy of its previous parent company, THQ. The business was formed in 1997.