The layoffs continue in the Seattle area startup community.

Online games company WildTangent is the latest to cut jobs. The Redmond company has closed its game development studio and laid off 20 workers, representing a fifth of its staff.

Spokesman Sean Sundwall confirmed the layoffs, and said WildTangent will continue to focus on its game publishing platform and advertising sales.

"Game development has such a long-term ROI (return on investment). In an environment where resources are constrained, you have to look at the businesses that will give you the best return in the shortest period of time," Sundwall said.

WildTangent's game development studio dates back to 1999. The studio has slowed down in recent years, producing just 3 games in the last two years, Sundwall said.

Sundwall noted that WildTangent currently offers nearly 1,000 games, only 30 to 35 of which were developed in-house at the company.

"It's become less incumbent on us to develop our own games to satisfy our customers' needs," he said.

WildTangent is led by former Microsoft executive Alex St. John. The company has raised over $50 million from a large investor group that includes Madrona Venture Group of Seattle.

Other investors are Advanced Technology Ventures, ATI, CIBC Capital Partners, Greylock, IDG Ventures, Millenium Technology Ventures, New Millenium Partners, Sony Corp. and Washington Mutual.

The WildTangent game studio was led by former Microsoft Xbox executive AJ Redmer, according to the company's website.

Following the layoffs, WildTangent has 80 employees.