The studio was reportedly set up about a year ago to create mobile games specifically for India and in collaboration with Indian developers. There were six employees at Square Enix India, all of whom have been laid off.
Square Enix opened the India studio with longterm goals to help jumpstart the country's burgeoning game development community, but it seems changes in management have put the company's emerging markets strategies on the backburner. Rumor has it Square Enix's Latin America branch could close as well as a result. (Via MCV India)