Atari Drops Cryptic Studios
Publisher Atari is to divest itself of its interests in Star Trek Online developer Cryptic studio, with the developer listed as “discontinued operations” in Atari’s latest financial results.
Support for Star Trek Online and Champions Online will continue as normal, as well as development on Cryptic’s new Dungeons & Dragons Neverwinter title.
“In line with the previously stated strategy of fewer but more profitable releases and further expansion into casual online and mobile games, the Company has determined that external development creates more flexibility in the changing marketplace,” stated Atari in its full year financial results.
The divesture process is currently “underway”, with Atari assumed to be seeking a buyer for the Californian developer.
Cryptic Studios generated €15.9 million ($22.7m) in revenues over the last 12 months, but made a loss €5.3 million ($7.5m). However, this represents an improvement on the €12.6 million ($17.9m) loss of the previous year.
The developer was acquired by Atari in 2008, following work on City Of Heroes for Korean publisher NCsoft. At the time Atari made an initial $26.7 million cash payment for the company, with a maximum earn-out of around $27.5 million, to be made up of cash and Infogrames/Atari shares.