At the end of this year, the embattled LimeWire service will be shutdown completely.

The company issued a statement today confirming that it will cease all business operations as of 2011: “Given our current situation, plans to bring our separate, legal music service to market, have been canceled. The beginning of 2011 will mark the closing of LimeWire’s New York office and cessation of business by LimeWire. We attracted some of the top talent from the technology community over the years to build our new music service. We’ll be helping our team members commence their job search over the next few months.”

That means no more LimeWire Store—the legally licensed subscription music service that had won the support of a handful of independent record labels—as well as the end of the long-promised new music service that it had been shopping around to labels for months.

The end of LimeWire was perhaps inevitable ever since a federal judge ruled in favor of the RIAA’s lawsuit against it. Despite the May ruling, LimeWire contended it would continue to develop what it called an “unmatched” unlimited music download service, and that it was negotiating with major labels to bring that service to reality.

But the legal woes just kept mounting. In June, a group of publishers filed their own suit against the company. And In October, the judge presiding over the RIAA case slapped a permanent injunction against the company forcing it to shut down its P2P operations.

Earlier today, LimeWire notified subscribers of the LimeWire Store—the legally licensed music arm of LimeWire that had attracted a handful of independent labels—that it would stop accepting new subscribers, and that current subscribers could only use what remaining credits they had left.

According to the LimeWire statement: “As a result of our current legal situation, we have no choice but to wind down LimeWire Store operations. Despite our dedication and efforts, December 31, 2010, will mark the day when LimeWire Store shuts its virtual doors. We thank all of our independent partners for giving us the chance to work with them over the past three years.”