Senior Design Manager at Intercept Games Quinn Duffy wrote on LinkedIn that the entire studio staff will indeed be laid off. According to him, this will happen on June 28.

Kerbal Space Program 2

Reports of the impending closure of Intercept Games surfaced a month ago. At that time, Bloomberg found in a notice filed with the Washington State Employment Department that Take-Two Interactive planned to dissolve a studio in Seattle. Since Intercept Games is based in this city, journalists speculated it was the studio in question. Notably, the notice also mentioned the date June 28.

A few weeks later, Take-Two Interactive CEO Strauss Zelnick in a conversation with IGN denied the information about the dissolution of Intercept Games, stating that his company had not closed anything. However, at that time Intercept Games was indeed still operating.

Intercept Games itself has yet to publicly comment on the reports of its closure.