Publishing giant Sega is make 121 members of staff at developer Relic Entertainment redundant.

The Company of Heroes studio announced the news on Twitter, saying that this is due to "external factors" facing the industry.

In a statement to GamesIndustry.biz, Sega said that the company was restructuring the developer to focus more on core franchises.

"At a time where external factors are impacting our industry more than ever, the difficult decision to restructure has been made to ensure that maximum focus can be placed on Relic's core franchises," the company said.

"Sega is in a healthy financial position and remains fully committed to supporting and investing in Relic Entertainment and the franchises it is responsible for, including the critically acclaimed Company of Heroes series. We're confident that following this necessary restructure, the studio will be in a position of strength to continue delivering outstanding experiences to players all over the world.

"Making decisions like this is incredibly difficult, and as a studio that treasures its people and is proud of the culture it's grown, the focus is on supporting departing employees with career transition services and severance packages. We would like to offer our sincerest thanks to each of them for the part they've played in helping Relic Entertainment's projects achieve global renown."