A Britain-based creator of virtual worlds is laying off a portion of its workforce as it struggles to turn a profit in a few months.

Sky News has learned that Improbable is preparing to lay off more than 10% of its 950-strong workforce as it looks to cut losses at its defense-focused business ahead of a potential sale.

Backed by giant Japanese tech investor SoftBank, Unlikely was founded a decade ago and focused on creating metaverse platforms for use in video games and industries like defense.

Many of her efforts to create commercially viable propositions have been abandoned, prompting her to refocus her efforts.

It was not clear exactly how many…