Earlier today, we reported that Telltale Games was shutting down.

Sadly, sources speaking to USGamer have revealed that Telltale Games also laid off its Walking Dead team. This would effectively cancel the development of The Walking Dead: The Final Season, with episode 2 being the game’s final act.

In fact, The Walking Dead team was also laid off today and The Walking Dead Final Season will not be completed.

This matches with the statement issued by Telltale games where the company promised to “fulfill the company’s obligations to its board and partners.” Our sources say The Walking Dead Final Season is set to end after the second episode launches next week.

Telltale Games has also not made any comment about players who bought the game’s season pass – which was supposed to give them access to all four episodes of The Final Season.

We will update with more information when Telltale Games makes an official statement.