According to reports from Gamasutra and Eurogamer, Crysis developer Crytek is planning on laying off a number of employees at its Budapest studio. The team at Crytek Budapest was knee-deep in developing the Xbox 360-exclusive fantasy title Kingdoms (which both reports also mention will be Kinect-compatible) -- however, the project has now been placed in the charge of Crytek's Frankfurt studio. The reports claim that Crytek Budapest will now focus on tablet-based games, and will see its staff size cut from 80 down to 30-35 as a result.

Crytek managing director Avni Yerli did not directly confirm the layoffs, but did respond to the reports, saying, "We can confirm that our Budapest studio is getting a new direction and focus." The reports claim that whatever changes might go down will happen in the next few weeks, so we're sure to know more soon.

This article was originally published on Joystiq.