Fat Princess developer Titan Studios was shut down a month ago, and members of the former studio have re-teamed in Seattle to form Carbon Games.
"Everyone that is starting Carbon is from Titan, but it's only about half of what was left. We are just bringing over the core people at this time. We had some QA, which were really great people, but we can't add people just yet," Carbon Games founder James Green told Joystiq. "We had actually been winding down Titan gracefully for a while. The longterm plan has always been for Epic Games China (of which Titan was a subsidiary) to exist on their own. We were just in a support/advisory role, which is why we never followed up Fat Princess with anything."
Carbon states they'll be working on "smaller, accessible core titles", and will be primarily released on PC at first. Carbon feels that PC development will allow them to "iterate and get player feedback faster and actually control the patching process."
Carbon will begin publicly testing its first game later this year. The game will be reportedly not too dissimilar from Fat Princess, but a bigger, wider scope.