BioWare co-founder Dr. Greg Zeschuk has signalled that the company has let go some staff who were working on its Star Wars MMO, The Old Republic.

"Sadly, we are bidding farewell to some talented, passionate and exceptionally hard-working people who helped make SWTOR a reality," he said.

"Impacting people's lives this way is always very hard, but we're ensuring the affected people are treated with dignity, fairness and respect."

The layoffs come after it was revealed that SWTOR had lost 400,000 players in one financial quarter, taking the game’s total players down to 1.3 million.

EA is still confident in the title, with CEO John Riccitiello noting during an interview on CNBC's Mad Money that "For what it's worth, it's a solid, successful, profitable franchise."

Zeschuk agreed.

"We still have a very substantial development team working on supporting and growing the game, and we feel we are in a strong position, with your continued involvement and feedback, to continue to build Star Wars: The Old Republic as one of the most compelling and successful online experiences in the world today. There are many strong initiatives planned for cool new content and new features that we're excited to tell you about in the upcoming weeks and months," he said.

"Rest assured that we remain dedicated to delivering a high quality service in SWTOR to you, our fans, and we will continue to support and grow Star Wars: The Old Republic over the weeks, months and years to come."

EA provided the following statement:

"BioWare has restructured its studio in Austin today. Of the employees impacted, some will be able to join other projects within EA, others will leave the company. These are very difficult decisions, but it allows us to focus our staff to maintain and grow Star Wars: The Old Republic. BioWare Austin remains a large and important part of BioWare and EA, working with other studios around the world to continue to deliver a high-quality service and exciting new content for Star Wars: The Old Republic."