Electronic Arts is planning to lay off 1,000 employees, approximately 10% of their employees. In this layoff their also consolidating EA Black Box back into EA Canada. EA Black Box was spun off as a studio outside of EA Canada to work on such titles as Need for Speed but, with the layoffs arriving, they’re going to be merging the remainder of EA Black Box into EA Canada by June 2009. The remaining EA Black Box employees will continue working on Skate 2.
The pink slips should be issued by March 31, 2009 and we’re hoping the folks that have lost their jobs will find new jobs as soon as possible. An Electronic Arts representative said:
“This does not mean that the Black Box studio is closing. The studio is moving to our Burnaby campus to share the facility with EAC and other EA teams that operate out of our state-of-the-art facility. We will operate two distinct studios, each with their own distinct culture and teams, out of our Burnaby facility.” (gamespot)
EA hasn’t mentioned any specific franchise cancellation but we’re going to assume something is going to slip, it’s hard to imagine a company can lose 1,000 employees without impacting business operations. If EA was able to layoff 1,000 people without impacting day-to-day business, then they’re definitely hurting in the management department because that would be a ton of waste.
Big companies may cut costs during hard times but they said they’re, “implementing a plan to narrow its product portfolio to focus on hit games with higher margin opportunities. The company remains committed to taking creative risks, investing in new games, leading the industry in the growing mobile and online businesses, and delivering high-quality games to consumers.”
We’re curious just how much EA is willing to risk on “creative” endevours considering publishers are already hesitant to break new ground. The next few years should yield great opportunities for smaller developers to put on their creative hat and open new doors and opportunities for themselves.
Halo: ODST
@John Riccitiello steps down as CEO of Electronic Arts
Hmm, no connection to Sim City? Me thinks not. Good point about EA no longer growing. Thing is, there is that much you can grow when all you have in mind is growing. Focus on the games, not on the slide shows for the board meetings.
I agree with Jordan though, the people guilty for releasing unfinished games is the customers. Greedy EA understands signals like “I’m not giving you my moneyz”.
@Will fans back an Alice 3 Kickstarter, asks American McGee
Some folks enjoyed the game (not my cup of tea though, but I’m irrelevant), so I don’t think he’ll have any issues with raising the money.
The problem is the IP. No amount of money he’ll raise from Kickstarter will get him the IP back. He’d better start working on something else. Keep the mad girl protagonist, keep the wacky universe. Ditch the names.
@Team Meat sitting out on developing for next-gen consoles
I agree with Jonah, the barrier of entry should be close to nil, even for the sake of diversity. But hey, I guess Ouya will just have a new developer shipping games for them …
Though I wasn’t available to fill in for Paul on this episode as Jonah noted, I’m indeed excited for Brave New World nonetheless. You can be certain it is to be front and centre for discussion on the next episode of PolyCast, the Civilization series podcast that I lead and produce.