Update: We received word fron Atari that Eden Games is not being closed by Atari, but is being divested by the company. That means that Atari will simply no longer be supporting the studio. However, for the time being they will continue to support Eden’s console and PC games, including Test Drive Unlimited 2. Atari’s quote is as follows:

“Our earnings statement contained a report about the divestment of Eden Studios. We want to make it clear that the studio has not closed and that we will continue to support the console and PC games of Eden Studios, notably Test Drive Unlimited 2, while this process is underway. The divestment is in line with our previously stated strategy of exploiting our popular intellectual property library on mobile devices, where he have seen strong initial success, and via online games and licensing.”

Original Article: As this generation clearly isn’t done claiming victims, Gamesutra today confirms that the French development studio Eden Games has closed doors for good, at the behest of parent company Atari. The decision was a product of Atari’s most recent revenue reports, following an industry trend of weak profits and falling stock.

Eden Games’ established a name on the likes of the V-Rally series, but perhaps became best known for the Test Drive Unlimited franchise. Their most recent game, Test Drive Unlimited 2, was released early last year, retaining the series’ trademark open roads and large, seamless driving distance.

Rocket Chainsaw wishes the best to Eden Games staff.