^ you are probably right but these layoffs apparently included people like Chris Sutherland, Gavin Price, Chris Allcock and Mark Stevenson. These guys worked on Rare games for more than a decade (20 years for Sutherland apparently).
There have been leaks about dozens of games that Microsoft has cancelled at Rare. Nothing but Kinect sports from Rare since 2008 - at least these guys will be free to work on bigger and better things.
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