Trion Worlds has been hit by layoffs. IGN sources suggest that well over half the company has been let go, with some suggesting numbers as high as 80%. (Trion tells us these numbers are "exaggerated," and we've reached out for more information regarding the extent of the layoffs.)

The San Diego studio -- where development of MMO Defiance took place -- is said to have been hit the hardest. A source suggests that employees are being escorted out of the building and that senior leaders from various Trion teams may not receive severance due to "undelivered services." (A Trion representative calls both of these claims "100% false.") Another source tells us the layoffs were at all studios, "mostly Defiance support staff and dev staff" and that "team members and team leads for teams responsible for multiple projects, not just Defiance specific, have been laid off." In other words, "teams that provide game generic responsibilities and services have been let go."A Trion representative confirmed the layoffs and provided the following statement to IGN:

"To best position Trion in a rapidly changing industry, we have reorganized our teams and are expanding our free to play offering. With Defiance, we delivered a great game that more than one million gamers registered to play and continue to enjoy. As we progress from launch to ongoing development of the game, we are adjusting our staffing levels to deliver new content and improved features. RIFT, and our other titles in development, were unaffected by these changes. We are very much looking forward to the free to play release of RIFT and are excited by the other new titles currently in development."

This is the second recent round of layoffs at Trion, following layoffs from the Rift development team in December. Earlier this week, Trion announced that Rift will soon transition to a free-to-play model If anyone with additional knowledge of the situation would like to contact us, submit a news tip IGN wishes the best of luck to anyone affected by today’s news and encourages them to consult this Google doc for positions currently available in the industry.

Andrew Goldfarb is IGN’s news editor. Keep up with pictures of the latest food he’s been eating by following @garfep on Twitter or garfep on IGN.