It was a wise move to lay those people off. They cancelled the MMO and are converting it to a single player game with some multiplayer stuff included. IMO that's smart. An MMO would have ruined them. 99% of MMO's are failures. There's no way they could have competed with WoW or Star Wars. It's a GOOD THING for their business that they did that. It shows that they're actually trying to stay around.