Cohort Studios, the game developer company, is closing down.
The firm based in Dundee blamed the closing down on "difficulties of being a console developer in a declining console marketplace".
"It really is with great saddness that we have been left with no alternative but to start winding down," said Lol Scragg, CEO of Cohort.
"Making all 25 employees redundant is genuinely heartbreaking," he added.
Scragg also said that their employees are 'very talented' and that they are trying to find employment for them.
He said, "As we entered 2011, we have looked to change the direction of our business but unfortunately we ran out of time."
Cohort Studios opened in 2006 and launched the PlayStation 3 only game, The Shoot, in 2010. The firm also worked on Buzz, Lemmings, Burnout Paradise and Motorstorm.
Its last game will be PlayStation Minis title, Me Monstar: Hear Me Roar, which will launch in May.
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