GameStop is up to something big. The company announced that it has acquired a streaming technology company and a popular digital distribution platform. The company announced that it has acquired Spawn Labs, a streaming technology company and has entered into an agreement with Stardock systems to purchase Impulse. The Impulse acquisition is subject to closing conditions and is expected to be complete in May 2011.

Spawn Labs becomes part of the GameStop network, and will bring its game streaming technology to GameStop's suite of digital game products and services. Once the Spawn Labs integration and testing on a new consumer interface is complete, users will gain access to a wide selection of high-definition video games on demand.

Gamasutra reports that THQ's New York City development outfit, Kaos Studios, has cut staff. THQ has also reportedly cut some staff from Red Faction and Saint's Row developers Volition. Kaos Studio most recently completed development on Homefront. Around 16 jobs have been eliminated from Volition, while 17 positions have been cut from Kaos.

In a statement to Gamasutra, representatives for THQ explained that "the changes are not expected to affect any current or future titles in development with Volition." THQ went on to say that Kaos has a "dedicated team in place" to continue supporting Homefront with post-launch content while preparing for future projects.

Hi everybody! We’re wrapping up production on Cars 2, and now we’re excited to announce that Cars 2: The Video Game will be presented in 3D exclusively on the PS3. We’ve worked very closely with Pixar to bring a cool Cars 2 game to life, and it’s even more exciting to bring all of those great characters to life in a full 3D experience. Pixar has created such vibrant worlds that resonate so well with audiences that it seemed a natural extension to take the game to a 3D setting — just like the upcoming film.

People for the Ethical Treatment of Animals (PETA) are apparently cheesed off that Michael Vick has advanced to the "Sweet 16: of fan voting to determine who will grace the cover of Madden 2012. They should be grateful if Vick wins the distinction because Madden NFL cover athletes tend to have very bad luck.

"I can tell you we've already received the letters from our good friends at PETA urging us to take him out of the bracket," EA Sports president Peter Moore said recently at the World Congress of Sports in Miami. "I personally believe, and this is personal commentary right now, that Michael served his time. He's had a tremendous season." Read More

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Barbara Biggins, CEO of the children's advocacy group the Australian Council on Children and the Media, is ratcheting up the rhetoric against gamers in the fight to keep Australia from getting an adult ratings classification. She has accused Australian gamers of "using propaganda" in the very public debate over changing the ratings system.

In an article that appeared on The Drum Unleashed, Biggins alleges that the rhetoric used by those that want an expanded ratings system has changed recently, and now downplays the negative side effects:

"Over the past year ... the pro-R18+ lobby has argued that having such a category would provide better protection for children," she wrote. "The push became propaganda."

According to a Kotaku report, Sony Online Entertainment has closed three of its development studios and laid off nearly a third of its work force. Word began to spread when George Broussard, better known as the creator of Duke Nukem and the founder of 3DRealms, tweeted about SOE Seattle closing:

"Word that Sony Online Entertainment Seattle is having layoffs and that studio closure is possible."

Kotaku then confirmed the news "through a source familiar with the matter" who said that the closure affected SOE's studios in Seattle, Tucson, Arizona and Denver. Kotaku also confirmed that nearly half of the employees at SOE's Austin, Texas studio had been let go. A number of its employees in San Diego, the company's main studio of operations have also been let go. Read More