Sony announced today that three of its studios- namely Guerrilla Cambridge, SCE London and Evolution Studios- have been hit with more layoffs. Obviously, the layoffs were going to effect the projects that these developers were working on, but it seems that at least one of these projects has been cancelled.

Industry insider Ahsan Rasheed has trusted sources in the company, and he moved to Twitter to divulge some of the information he had received. “OK, this is what I can gather so far about the restructuring efforts,” Rasheed said. “Certain projects are not coming together. IE Concepts broken, ideas strong on paper but not in application, or inability to hit milestones. The only project I do know of that was canned was not very far into production and would have required a ton more work to fix up.”

Rasheed also went ahead and explained that despite being the top guy at Sony Worldwide Studios, Shuhei Yoshida was not responsible for these layoffs. “Also Shu isn’t responsible, this is studio heads evaluating internal projections and making the cuts based on that,” Rasheed said. “Final word, Sony is very serious about first party efforts. Studios are encouraged to refocus, hone in, and refine. It just sucks people go.”

It’s really disheartening to see so many people in the industry losing their jobs, and it’s pretty disappointing that in such a short space of time, the PS4 has lost two of its several upcoming unannounced titles.

Stay tuned and watch this space for more info.

Project Morpheus is now out in the open, and as a VR headset that will support PS4, PS Eye and PS Move, it’s been garnering some positive feedback.

Indie developer David Klingler has tweeted out some of his observations regarding the device. “So the resolution is not an issue for Morpheus. The depth is good, comfort is good…Not best tracking, but can be fixed I think.”

He also stated that, “…I’m definitely looking forward to developing for Morpheus.”

Most importantly, Klingler noted that, “Morpheus did not feel the same as Oculus. I mean that in more than one way. The only thing I would have liked more besides tracking is that the sound was too quiet so I could not hear the nuances of the sound work done by Sony.

Klingler also had a chance to try out The Deep. “The first demo I played was The Deep. I was inside a cage going underwater and got attacked by a shark.

Klingler noted that, “demos looked impressive graphically and the depth was very well done. Bubbles close and wreckage far away in The Deep.”

But there are a few downsides as well: “The current downsides for Sony to work through: tracking, quicker resetting of calibration, and perhaps the sound. ”

However he thinks that body tracking and comfort of use is what sets it apart from Oculus Rift. “What currently sets Morpheus apart from what I’ve done with oculus is the clarity of very near and far as well as full body tracking and overall comfort of use”

As for The Deep, it seems that Sony handed out guides to the game, describing the overall premise and gameplay courtesy of Ubisoft Montreal’s Damien Kieken.

The Deep has you donning a diving suit and struggling to survive inside of a protective cage. Sharks are attacking but there seem to be other fish in cahoots. The head-mounted torch described in the image hints at what the PS Move-mounted headsets could be used for.

What are your thoughts on Project Morpheus thus far? Let us know in the comments.