Curt Schilling’s Videogame Company Goes Bust

Getty Images

PHOENIX, AZ - SEPTEMBER 10: Curt Schilling, former member of the 2001 Arizona Diamondbacks World Series team walks in the dugout before the Major League Baseball game against the San Diego Padres at Chase Field on September 10, 2011 in Phoenix, Arizona. The Diamondbacks are celebrating the 10th anniversary of their World Series title.

In a remarkable reversal of fortune, former major league pitcher Curt Schilling has laid off the entire staff that formed his videogame company, 38 Studios, just months after the company designed its first game.

While Schilling had said he was pleased with the success of the game, "Kingdoms of Amalur: Reckoning," the company was late on a payment to the state of Rhode Island, which had loaned 38 Studios $75 million in exchange for moving its headquarters to the state.

The Boston Globe has reported the company didn't have enough money to make its May 15th payroll.

Schilling has been quiet amidst the criticism that he failed to live up to his end of the bargain, but was open about his predicament when he appeared on "CNBC SportsBiz" two months ago, though he didn't say at the time his company was in trouble.

"We're almost 400 people," Schilling said. "How many family members is that? Thousands of people that you are responsible for on a daily basis. It's a terrifying and exciting thing."

When asked what percentage of his career earnings he put into the business, Schilling responded "a number far higher than my wife would be comfortable with."

"She knows the number," Schilling said at the time. "But you know what? We got to a point where it was too much, too good to walk away from. And you know, this is an all-in gamble and I think it paid off."

Schilling would only reveal that he was five years into his company and had gone through "tens of millions of dollars."

Schilling made $114 million in his baseball career, according to Baseball Reference.

Questions? Comments? [e-mail]