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Looks to be a roughly indie studio releasing under a triple-A banner, so both?
It has a pretty big ticket publisher, and is by a development team that has put out a relatively full length game (if a bit underexposed/not greatly reviewed).
dontnod also made remember me, which can be classed as a AAA game (published by Capcom)
Wikipedia stated something like "Independent video games (commonly referred to as indie games) are video games created by individuals or small teams generally without video game publisher financial support."
I gave it as an example, the OP can use their own definition, or that of their publisher. By the 'textbook' definition it looks to fall into this category.
An indie game is literally just one that is put out by a developer without the backing of a publisher (financial or otherwise). LiS clearly isn't an "AAA" title in terms of resources or marketing, but it's not an "indie game" either because SE are the publisher.
On the other hand, LiS certainly could be considered an "indie game" in the "indie film" sense of not being a mainstream offering in the gaming world.