Another one bites the dust. Survios, the Los Angeles studio behind some of PSVR2's most notable titles, has reportedly lost the vast majority of its staff in a devastating round of layoffs, according to Push Square.

The news comes via a series of LinkedIn posts picked up by Game Developer, with combat designer Dylan Ralston stating the studio will be "essentially shuttered" and that all team members responsible for development are being let go. Not a soft nerf - a full delete-save-file situation.

Survios built up a solid reputation in the VR space, shipping games like Alien: Rogue Incursion and CREED: Rise to Glory - titles that actually gave PSVR2 adopters a reason to strap that headset on. Losing a studio of this calibre is a serious XP drain for the already fragile VR gaming ecosystem.

This is unfortunately not a one-off boss fight - it's becoming a recurring event for VR-focused developers. The wider industry has been watching PSVR2 struggle to maintain momentum, and studios betting big on the platform are feeling the consequences hard.

Whether Survios can respawn in some form remains to be seen, but right now it's looking like a game-over screen with no continue option in sight. Our thoughts go out to all the developers affected by these cuts.