Low sales aren't really bollocks. Apparently the only game they've had in the last six years that has made a profit was Season 1 of Walking Dead. It sounds like there was a lot of mismanagement and absolutely terrible management decisions. Like building up the studio to 250 people and taking on a ton of projects while losing money on every single one of them. Last November they laid off 90 people. They've also apparently had the employees stuck in a constant state of "crunch time" since 2014 and had pretty high turnover. Withing two years they had three different CEOs and had kicked at least one of the co-founders out of the company and off the board.
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This is a good lesson to learn. I've worked as a contractor in the IT world for over 12 years (for many different companies) and you are an asset that's as disposable as a AA batteryor a paperclip.