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321 Studios close to shutting down

Faced with a new set of lawsuits, prominent DVD and game copying software company 321 Studios may be nearing the end of its short and tumultuous life, Chief Executive Robert Moore said Wednesday.

Moore's company was sued by a trio of large video game companies on Tuesday. The companies contend that 321 Studios' recently released Games X Copy software violated copyright law. Previously, a San Francisco judge had ruled that 321's popular DVD X Copy was illegal, because it was able to circumvent copyright protection programs. The judge ordered it removed from the market.

The company, which used to number nearly 400 employees, has laid off all but about 20 people now. Although he hasn't made the decision, the latest lawsuit may well trigger a final shutdown, Moore said.

"That is one of the options that we're considering," Moore said. "This has been a long and enjoyable ride up until the time we lost in California. Things have gone from good to bad to worse since then."

News source: News.com

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