I wish there was more information on why exactly it was closed down. I mean, if you look at the games that they put out, all of them got a lot of press attention, and the average score for all their games is probaly around an 8 (at gamespot).
I'd blame poor sales, but I thought the Viewtiful Joe games were pretty popular, I'd be suprised if Okami did that poorly, and a lot of people were talking about Godhand when it came out. I mean, none of them were huge, but they were all somewhat popular. Maybe it's just something like Capcom wants to keep the clover properties as something directly credited with being developed by Capcom itself?