A few days ago, French journalist and insider Sylvain Trinel warned that Electronic Arts could also be planning layoffs. According to recent reports, the first wave of layoffs may have begun recently.
Even if in the last few days it was mainly the Xbox division and the threatened closures Ninja Theory or Compulsion Games became the focus of reporting, other publishers and studios are said to be planning layoffs.
This was recently pointed out by French journalist and industry insider Sylvain Trinel, who only reported on current developments at Microsoft described as the tip of the iceberg. Trinel’s statements are supported by industry analyst Destin Legarie, who, citing internal sources, also reports that the US publisher Electronic Arts Layoffs and austerity measures are planned.
According to Legarie’s information, Electronic Arts has already initiated the first layoffs. Even if these are still manageable at the moment, it probably won’t stay that way.
Multiple waves of layoffs at EA?
Instead, the industry-well-connected analyst suggested that the publisher is likely to plan multiple waves of layoffs affecting different divisions and studios of the company.
“Unfortunately, I hear from reliable sources that layoffs are beginning at EA. Even if the first round is likely to be comparatively small,” wrote Legarie.
“Employees are being told they are being laid off. I have also been told the cuts will affect multiple areas of the company.”
However, Legarie could not or did not want to go into further detail. Since Electronic Arts has not yet commented publicly on this topic, it remains to be seen which areas and branches will be affected by the publisher’s recent layoffs. If the information published by Sylvain Trinel turns out to be correct, it could affect BioWare, among others.
After the commercial failure of „Dragon Age: Veilguard“ the studio is currently working on the latest offshoot „Mass Effect“series, but it will probably be a while yet.
Is the industry facing a drastic summer?
According to Trinel’s statements, the games industry could be facing “a real bloodbath” in terms of layoffs and studio closures. Other studios that the journalist and industry insider linked to a difficult situation include Quantic Dream and Don’t Nod.
Trinel’s information is supported, among other things, by Don’t Nod’s current business figures, which, according to experts, indicate that the studio may be in business before the end of the year could slip into bankruptcy.
Unsurprisingly, Trinel expects the biggest cuts to be in the Xbox division, which is the same several studios are on the brink. The fate of Ninja Theory, Compulsion Games and Double Fine Productions is probably not yet finally sealed, as Microsoft is supposed to enable the studios to buy back their independence and thus be saved from closure.
According to unconfirmed reports, Microsoft has therefore decided to „Senua“ despite the threatened closure of Ninja Theory the big Xbox Games Showcase to present this month.
The thought process behind this step: to arouse the interest of potential investorswho might be considering buying Ninja Theory.
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