THQ have confirmed that they will be closing down Kaos Studios, creators of Homefront, and Digital Warrington, the developer behind Red Faction: Battlegrounds. According to the statement, it was done as a part of a "strategic realignment within its internal studio structure." The Homefront franchise will end up at THQ's Montreal studio - the game did sell really well, after all.
Employees at Kaos and Digital Warrington (previously known as Juice Games) will "have the opportunity to interview for open positions with the company globally."