According to Activision (as reported by MCV), the UK tablet and smartphone developer's future is being discussed. If the studio is shut down, Activision wants to make sure the developers there can continue to work together as a team. Whether that means remaining on at Activision, forming their own, independent studio, or being absorbed into another studio appears to be up in the air.
"We met with The Blast Furnace this morning and are currently discussing options for their future," an Activision spokesperson reportedly told the site. "The Blast Furnace is a very talented studio and has been a great partner to Activision. Our preference would be to keep the talented group of employees at The Blast Furnace together and develop a plan that would enable them to remain as a team.”
The Blast Furnace has created tablet and smartphone games in the Call of Duty, Wipeout, and Pitall series, including 2013's Call of Duty: Strike Team.
I reached out to Activision, but a company spokesperson simply referred me to the above statement. It seems that's all there is to know at this point.