Radical Entertainment, the Vancouver-based studio behind the open-world action series Protoype, has been closed down by parent company Activision.
The closure was apparently due to disappointing sales of the two games.
"Radical is a very talented studio and has been a great partner to Activision," said a spokesperson for the publisher.
"Although we made a substantial investment in the Prototype IP, it did not find a broad commercial audience.
"Following an exploration of a wide range of options, it was determined that closing Radical Entertainment as a creative entity was the only option."
Activision has taken on a number of ex-Radical Entertainment staff.
The company, acquired by Activision in 2005, had employed around 90 people. The studio had also produced Scarface: The World is Yours, Crash of the Titans and The Simpsons: Hit & Run.