Look beneath the surface and that's very hard to believe. Sources reveal The9 now own Red 5, and a founder resigned his post last week.
"Red 5 Studios, Inc. is currently working on an unannounced massively multiplayer online game. Recently, the team formed around a new direction and took on additional investment from a strategic partner in the online games industry," says Red 5, reports Kotaku.
"Red 5 remains committed to releasing a AAA quality, online title targeted for a worldwide release. The company has restructured the team in order to accomplish this goal. As part of the restructuring, some team members chose to part ways while others were let go."
"Red 5 has great respect for these departing team members and the contributions they have made." Kotaku's source says trouble began last year when CEO Michael Weingarter was forced out by company directors. Art director William Petras, a founder and ex-Blizzard, also submitted his resignation last Tuesday.
Things turn a little bizarre now as the source goes on to reveal that former CEO Mark Kern called a meeting, declaring himself the "new" Mark Kern to go along with the "new" Red 5, because the "old" Red 5 was now dead.
Chinese online gaming operator The9 is now in majority control of the studio, which is why they have apparently refocused on the Chinese market for projects. "The CFO, HR and IT were all cut, as well as 80% of the art staff," reports Kotaku.
Red 5 Studios is yet to produce anything for gamers, so if it does fold or journeys off into obscurity, no one will likely ever know it existed anyway to miss it.