United Kingdom, May 8 -- Xbox is shutting down 'Redfall' developer Arkane Austin and three other studios.

The gaming giant has confirmed layoffs across the four studios - also including Tango Gameworks, Alpha Dog Games and Roundhouse Games - and Xbox executive Matt Booty described the decision as "tough".

As reported by IGN, he wrote in a company-wide email: "These changes are not a reflection of the creativity and skill of the talented individuals at these teams or the risks they took to try new things.

"I acknowledge that these changes are also disruptive to the various support teams across ZeniMax and Bethesda that bring our games to market.

"We are making these tough decisions to create capacity to increase investment in other par...