Yesterday we reported on the very talented Jeri Ellsworth being let go from her position on Valve's Steam Box development team, and today it appears that even more layoffs have taken place.

While the extent of the layoffs is unknown at the moment, sources are reporting that Valve may have terminated the employment of as many as 25 people. In addition to Ellsworth, Jason Holtman was also let go. Jason was head of Steam's business network, and was the person publishers negotiated with before their games appeared on Steam.

With rumors and accusations mounting, Valve CEO Gabe Newell released the following statement:

"We don't usually talk about personnel matters for a number of reasons. There seems to be an unusual amount of speculation about some recent changes here, so I thought I'd take the unusual step of addressing them. No, we aren't cancelling any projects. No, we aren't changing any priorities or projects we've been discussing. No, this isn't about Steam or Linux or hardware or [insert game name here]. We're not going to discuss why anyone in particular is or isn't working here."

Shortly after Ellsworth announced her termination yesterday, Palmer Luckey, one of the founders of the Oculus Rift tweeted, "@Jeriellsworth You should use some of that free time to make a trip down to Oculus HQ and check out what we're working on!" So maybe we will see Jeri's tallent appear on upcoming virtual reality headsets.