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EA restructuring, laying off 6% of workforce

Electronic Arts today announced that it will be laying off approximately 6% of its staff as part of a restructuring pla…

www.gamesindustry.biz

Electronic Arts today announced that it will be laying off approximately 6% of its staff as part of a restructuring plan that also includes optimizing its real estate portfolio and re-focusing its efforts around growth opportunities.

EA's last annual report said it employed 12,900 people globally as of the end of March 2022, when a 6% cut would have put the total number of layoffs around 775.

In a note to staff about the cuts, EA CEO Andrew Wilson emphasized that the company "is operating from a position of strength" and will be focused on a handful of strategic priorities going forward: building games with large communities based on its biggest IP, making the most of those communities with social and creator tools, and "creating blockbuster interactive storytelling."


"As we drive greater focus across our portfolio, we are moving away from projects that do not contribute to our strategy, reviewing our real estate footprint, and restructuring some of our teams," Wilson said.


He added, "This is the most difficult part, and we are working through the process with the utmost care and respect. Where we can, we are providing opportunities for our colleagues to transition onto other projects. Where that's not possible, we are providing severance pay and additional benefits such as health care and career transition services."

EA also filed an 8K form with the Securities and Exchange Commission today, saying it expects to incur $170 million to $200 million in charges as a result of the restructuring plan. It added that the restructuring should be finished by the end of September.

The year has seen numerous mass layoffs in the gaming and tech industries, with Google, Meta, Microsoft, Amazon/Twitch, ByteDance, Unity and more making cuts to staff.

EA has already made some cuts, with more than 200 QA staff (including external contractors) reportedly let go last month from the Baton Rouge, Louisiana office that had been supporting Apex Legends.

 

[Corndog]

Via GI.Biz

http://[URL]https://www.gamesindustry.biz/ea-restructuring-laying-off-6-of-workforce

[/URL]

We will see what happen to BioWare.

 

[TheInfamousKira]

Oh no. Dead Space multiplayer DLC incoming.

 

[mitch1971]

All the purple hair EA employees are at home frantically washing out the dye.

 

[SantaC]

Not surprised. EA barery release games thesr days

 

[Drizzlehell]

All the purple hair EA employees are at home frantically washing out the dye.

 

[Represent.]

All they have to do is make another SSX and they’d be fine, I’d buy 10 million copies myself

 

[Unknown Soldier]

Not surprised. EA barery release games thesr days

They release Madden and FIFA every year

 

[Sleepwalker]

Not surprised. EA barery release games thesr days

Havent they just released:

- dead space remake
- wild hearts
- nfs unbound
- fifa 23
- madden 23
- nhl 23


In the past few months? They also have Jedi: Survivor and F1 23 coming in a few months.

Dont think this is about the amount of games

 

[Aenima]

We will see what happen to BioWare.

We all know what will happen.

 

[kicker]

The QA stuff was already known, but if they're actually splitting up development teams then there must be some shakeup incoming. A shrinking studio is never a good sign in gaming. There's no getting around the amount of people it takes to make a good game, especially with the dev costs of modern big budget games

 

[Celcius]

They need to gives us a remaster of the NBA Street original trilogy.

 

[Corndog]

We all know what will happen.

They might actually deserve it.

 

[Umbasaborne]

Wonder if bioware will get to release the new dragon age before they are shut down

 

[Three]

They might hurt a little after the FIFA licence loss.

 

[ahtlas7]

AI putting artists out of work already?

 

[balls of snow]

Not surprised. EA barery release games thesr days

Except when they gonna release 3 back to back games in the first months of 2023.

 

[MALpractice311]

They might actually deserve it.

Harsh, but, particularly after Andromeda and Anthem, accurate.

 

[Wildebeest]

The situation around FIFA and Battlefield seems negative, but they have Apex Legends, so they can't be doing that badly.

 

[Pelta88]

EA have been determined to diminish their best IP and innovation. DICE engine is one of the best third party engine's in gaming Battlefield 2, 3, & 4 were my absolute jam. My most played multiplayer games ever.
But I knew the future of EA was uncertain when I heard this clown...

Start talking about shifting their best studios to focus on MTX and loot boxes. What He did to Battlefield has the entire community like...

 

[fart town usa]

EA blows.

 

[MScarpa]

Everybody is laying off employees right now. Won't be first or last.

 

[darrylgorn]

Downloaded Dragon Age Origins to play through with all my purchased DLC the other day.