All 25 members of staff on the gaming team at Annapurna Interactive – publisher of acclaimed indies like Outer Wilds, Stray and Neon White – have reportedly resigned after talks to spin-off the division as an “independent entity” broke down.

According to a report from Bloomberg, corroborated by IGN, Annapurna president of interactive and new media Hector Sanchez has reassured partner developers that the company will continue its existing contracts.

The report states that Annapurna Interactive President Nathan Gary and his team had been negotiating with Annapurna Pictures owner Megan Ellison over spinning off the gaming division into “independent entity”, with Ellison pulling out of these negotiations at some juncture. The resignation of Gary and the other staff followed this development.

“All 25 members of the Annapurna Interactive team collectively resigned,” Gary and the group told Bloomberg in a joint statement, “This was one of the hardest decisions we have ever had to make and we did not take this action lightly.”

Naturally, these developments have caused uncertainty and concern for studios and developers Annapurna currently has partnerships or agreements with for upcoming projects. A spokesperson for Annapurna Pictures told Bloomberg that all existing games and projects will remain under the Annapurna label. Sanchez has also reportedly told developers that the company has plans to replace the departed staff.

“Our top priority is continuing to support our developer and publishing partners during this transition,” Ellison said in a statement to Bloomberg. “We’re committed to not only our existing slate of games but also expanding our presence in the interactive space as we continue to look for opportunities to take a more integrated approach to linear and interactive storytelling across film and TV, gaming, and theater.”

Last month, Annapurna Pictures announced that it was partnering with Alan Wake 2 developer Remedy, in a deal which will see it cover 50% of the development costs of Control 2 and gain rights to develop film and TV adaptations using the Control and Alan Wake IPs. Based on a tweet from Remedy communications director Thomas Puha, it appears this deal will not be affected by these developments at Annapurna Interactive.