Electronic Arts announces layoffs and cancels Star Wars game
Brief Description: Electronic Arts (EA) has recently announced layoffs affecting around five percent of its employees and the cancellation of certain games, including a Star Wars project. The company is also moving away from developing games based on licensed intellectual properties (IP).
What’s going on here? EA has revealed plans to cut around five percent of its workforce, equating to almost 700 employees. The company is also discontinuing some games and shutting down at least one development studio. The CEO attributes these decisions to a streamlining of operations aimed at creating more connected experiences for fans. EA aims to support impacted employees by potentially shifting them to new projects before finalizing any layoffs.
What does this mean? Beyond staff cuts, EA is opting to move away from developing games based on licensed IPs to focus primarily on its own IP, sports titles, and online communities. This shift in strategy signals EA’s intention to prioritize its in-house creations and established franchises. While some licensed IP games remain in development, such as the Black Panther and Iron Man titles, the company has canceled the Star Wars first-person shooter project being developed by Respawn Entertainment.
Why should I care? This announcement sheds light on the ongoing dynamics within the gaming industry and the corporate strategies of major players like EA. The decision to reduce staff and pivot away from licensed IPs indicates a strategic shift that could impact the types of games players see in the future. Additionally, the cancellation of a highly anticipated Star Wars game may disappoint fans but also offers insight into EA’s evolving priorities and investment focus.
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