http://www.pso-world.com/news/02263-...sega-west-cuts

As seen on the front page:

According to a post made on the official PSU boards, the Sega staffers involved with running Phantasy Star Universe were not part of the recent Sega West cuts. Here's the scoop, courtesy of GM Edward:

To answer your questions, all of the staff you know through our blogs, forums, and PSU -- our Community team, in short -- are still here. So are the people who work on PSU, here and in SEGA Japan. And seeing as PSU very much falls under the category of a digital, social game, it's fair to say that this is a positive thing for our MMO future.

I will say that today was a difficult day -- this is a business and re-organization is both vital and necessary, but there is a personal side to this as well, and on that front, today I had to say goodbye to a lot of bright and talented people I consider both friends and excellent colleagues. Business can be rough sometimes.

But, I think it means good things for PSU, especially in the long run. This is an important game, both in terms of connecting SEGA's past to it's present, and because it represents -- still -- a unique experience on the Xbox 360 and a special MMO title. There's still a lot of opportunity here, both now and for the future.
Thanks to S-T-H for the tip.