recent interview with SCEE's Michael Denny. Studio Liverpool, developers of the popular Wipeout franchise, and Evolution Studios, developers of the MotorStorm series, will eventually merge to work at one location. The two teams have already merged "management structure" and are currently using "combined resources." The two teams are already in close proximity to each other, so it makes sense that these PlayStation teams should combine.
Each studio will continue to have their own "internal concepting group" to think up "new opportunities and new IPs." Perhaps their next game will feature futuristic hovering ... off-road monster trucks. Wait a sec. That sounds incredibly awesome.