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Most of the staff was laid off in the summer of 2011, causing the rest to go on a (largely symbolic) strike and subsequently move on. Atari signaled the studio's closure in May of last year, when it was being prepared for "divestment," but said it hadn't been closed yet.
Update: Atari has provided Shacknews with a statement, saying that Eden Games is not closed. However, the company does confirm that it has "divested" from the studio: "Our earnings statement contained a report about the divestment of Eden Studios. We want to make it clear that the studio has not closed and that we will continue to support the console and PC games of Eden Studios, notably Test Drive Unlimited 2, while this process is underway. The divestment is in line with our previously stated strategy of exploiting our popular intellectual property library on mobile devices, where he have seen strong initial success, and via online games and licensing."
Original Story: Test Drive Unlimited developer Eden Games was as good as dead after owner Atari laid off most of the staff last year, but now it's official. In its financial results for last year, filed this week, the publisher confirmed it's been selling off what assets remain.
It's all been downhill since Atari fired 51 of the French studio's 80 employees in May, sparking a symbolic strike. Test Drive Unlimited 2 wasn't received at all well, see, and Atari had ended up issuing free DLC in apology for its many "issues."
The Test Drive brand lives on, though. Atari has tasked Slightly Mad Studios with track-bound affair Test Drive: Ferrari Racing Legends, which is coming soon to PC, Xbox 360 and PS3.
A small number of former Eden members went on to found indie studio Blossom Mind.
Eden Games, developer of the Test Drive Unlimited series and Alone in the Dark reboot, is on a "symbolic day strike" today to protest parent company Atari's plans to lay off a whopping 51 of the French studio's 80 employees.
The statement claims that "We had anticipated the problems faced by the company last year... For several years we are witnessing multiple leader changes at its head, they did not hesitate to get rich despite financial difficulties."
An anonymous Eden member has told Gamasutra that the studio decided yesterday to strike after making no progress in two weeks of talks with Atari, and that the layoffs are expected to occur "around June."
The unnamed employee claims that the compensation being offered "is basically half" of one that was offered to victims of a 2009 restructuring at Atari. One of the striker statement's wishes is to "be sure that an employee of Eden Games is compensated the same way as an employee of Atari."
Curiously, Eden also wishes to receive mysterious "financial records" its accountant has requested. The Eden employee mysteriously told Gamasutra that "Unfortunately we cannot give you the detail of the missing documents, this would break the confidentiality agreement." Missing, you say?
Eden's latest game, Test Drive Unlimited 2, received a lukewarm response from critics but the mystery employee told Gamasutra the studio expects it will sell 900,000 copies--an estimate, as Atari won't reveal numbers. "We believe it can be a long-time seller," said the Edenite, as "players continue to play and enjoy the game" even though "there were several issues at TDU2's launch."