Starbreeze Studios is in the news again today, and it's not looking good for the Stockholm based developers.

After the poor reception of the studios latest game, Overkill's The Walking Dead on PC lead to the console versions being delayed, Skybound has severed ties and ended its contract with the developer.

In a statement, Skybound said "Our creators and their stories are the core of Skybound, and since 2014 we have worked hard to expand the world of The Walking Dead into an exceptional Co-op Action FPS. We did our best to work with Starbreeze and resolve many issues that we saw with the game, but ultimately OVERKILL’S THE WALKING DEAD did not meet our standards nor is it the quality that we were promised. We are exceedingly sorry to our fans and share their disappointment in the game. We remain dedicated to providing our fans with the most premium quality content we can offer"

Losing a major licence like this is never a good sign, and with the company already dealing with the recent raids on their offices, Starbreeze has found itself in the headlines for all the wrong reasons recently.

It's currently unsure as to how this will impact the console versions of Overkill's The Walking Dead, even with the studio confirming that the title had not been cancelled and is "purely postponed" just a week ago.

It's a shame to see any studio struggle, but it feels like Skybound has made the right decision to protect perception of it's leading franchise. This won't be the last we see of The Walking Dead in the gaming world as the company further stated that it "will continue to look for alternative video game options for the IP."

What developers would you like to see take over the reins of The Walking Dead and what type of game do you think it should be? Let me know in the comments below!