Sonic Team, makers of Sonic and Billy Hatcher: The Giant Egg are closing down! But don't worry, it's not as bad as it sounds.

Sonic Team have shut their doors as a separate studio from Sega, but do not worry as they will still be carrying on. They will become an internal studio in Sega, like they used to be back when the Sega Saturn was out.

Sonic Team are moving around with a bit of a celebration however. The makers of titles such as Sonic and Phantasy Star Online are offering people who fill in a questionnaire on their website limited edition pins. There are 2000 pins to give away and for the lucky people who gain more then 100 points will win one of 1000 gold-coloured serialized pins.

Sonic Team have also created a CD, titled Sonic Team Unplugged Live 2004 which contains recordings of an event held back in March. Songs from games such as Billy Hatcher: The Giant Egg, Sonic Heroes and NiGHTS: Into Dreams are included on the CD. The CD will go on sale on the 26th of August for 1000 Yen (�5/�8).