Electronic Arts (EA) recently announced a reorganization plan that will involve letting go of approximately 5% of its employees worldwide. The company, which had 13,400 employees as of March 2023, may be cutting around 670 jobs.
In a letter to employees, EA CEO Andrew Wilson mentioned that the restructuring is aimed at optimizing the company’s real estate footprint and focusing on its core strengths. This includes sunsetting certain games and moving away from developing licensed IP that may not align with the changing industry landscape.
As part of the reorganization, EA has decided to cancel a Star Wars first-person shooter (FPS) game. The decision was made to shift focus towards projects based on owned brands like Jedi and Respawn’s existing franchises. EA Entertainment president Laura Miele emphasized the importance of delivering what fans are most excited about and providing support for ongoing projects.
While the layoffs will impact some teams, EA is committed to helping affected employees transition to new roles or projects. The company aims to complete the restructuring process by the end of the year.
This announcement comes in the wake of similar restructuring actions in the gaming industry, with Microsoft and PlayStation also reducing their workforce percentages. Game developer Farhan Noor has been tracking industry job cuts, estimating around 10,500 layoffs in 2023 and 7,800 so far in 2024.
