United Kingdom, July 8 -- Romero Games is not closing down.

Following Microsoft's recent layoff announcement, it was reported the studio - which is headed by Doom creator John Romero - had shut down and had its next first-person shooter title cancelled after Microsoft pulled funding, but Romero Games has now insisted the developer is alive and well.

In a statement, the studio said: "We want to address recent reports regarding the status of Romero Games. These reports have contained inaccuracies, and we feel it's important to set the record straight.

"Romero Games is not closed, and we are doing everything in our power to ensure that it does not come to that. Any suggestion otherwise is factually incorrect.

"Indeed, we were in the stud...