[Update] Borderlands: The Pre-Sequel Developer 2K Australia Has Shut Down

2K Australia, developer of Borderlands: The Pre-Sequel, has closed its doors, a source within the studio tells Kotaku Australia.

According to their source, the entire studio will be shutting down, and every staff member will lose their job, saying "All hands are gone." The costs of operating a AAA studio in Australia were reportedly the cause of the studio shutting its doors. Official comment is expected to be issued soon.

2K Australia was the country's last remaining AAA studio. Most recently, the developer took the lead on Borderlands: The Pre-Sequel, but the studio has long played a large part in assisting the development of other 2K properties, such as the BioShock series, and The Bureau: XCOM Declassified.

Update: Official comment from a 2K representative has been provided to Kotaku Australia: "We can confirm we have taken steps to begin the studio closure process for 2K Australia in order to better manage ongoing development costs while improving the working proximity of our creative teams. We are very grateful for the team’s valuable contributions to numerous 2K projects, and are working with affected staff to explore reassignment opportunities where possible."