It seems an internal email at HP indicated some VoodooPC employees would be laid off. But, as those at the Gadget Lab note, since VoodooPC is rather small to begin with, a lay off could result in the shutting down of the entire company.
VoodooPC, which specializes in gaming hardware, currently has two products out, the Omen desktop and the Envy notebook, however, neither is selling that well. But a company shutdown would also mean putting a stop on production for Voodoo DNA products such as the HP Blackbird 002. That's probably not too likely, so while the lay off rumor is probably true, I wouldn't place my bets on a total VoodooPC closeout.
[via Gadget Lab at Wired]