Right this moment, EA introduced a significant firm shake-up that can lead to roughly 670 people, or 5% of its workforce, dropping their jobs. As part of that very same reorganization, Respawn’s Star Wars FPS in-development at Respawn is being canceled.
Following CEO Andrew Wilson’s announcement of the cuts at this time, EA Leisure president Laura Miele shared a observe with workers explaining in additional element what EA’s enterprise priorities can be going ahead. This contains her announcement that EA is shutting down an early improvement Star Wars FPS motion recreation as part of an ongoing focus by itself owned manufacturers and supporting its current video games.
“It is at all times arduous to stroll away from a venture, and this resolution just isn’t a mirrored image of the staff’s expertise, tenacity, or ardour they’ve for the sport,” Miele wrote. “Giving followers the following installments of the long-lasting franchises they need is the definition of blockbuster storytelling and the correct place to focus.”
Not a lot is thought concerning the Star Wars FPS, nevertheless it was rumored to function a Mandalorian protagonist indirectly. The destiny of EA’s Star Wars technique recreation can be unclear. EA is endeavor the transfer partly on account of what it perceives to be a speedy shift towards giant open-world video games, large communities, and dwell service video games.
IGN understands that the staff beforehand engaged on this recreation will largely be reassigned to different initiatives together with Apex Legends, Iron Man, Black Panther, and Jedi — for which EA has confirmed a 3rd installment. The Star Wars: Jedi franchise will proceed, regardless of EA’s transfer to specializing in owned IP, and EA is alleged to stay centered on its long-standing relationship with Disney/Marvel.
The Cuts Proceed
Moreover, EA shall be restructuring its Battlefield groups considerably following the departure of Marcus Lehto introduced yesterday. It is sunsetting Ridgeline Video games, folding a few of its builders into Ripple Impact. Danny Isaac and Darren White at Criterion will oversee single-player work on the sequence going ahead.
And EA additionally will sundown quite a lot of cellular video games, together with the already-announced F1 Cell Racing and MLB Faucet Sports activities, in addition to Kim Kardashian Hollywood and The Lord of the Rings: Heroes of Center-earth – which was launched lower than a yr in the past.
IGN understands that EA intends to reorient its enterprise and improvement plans to give attention to a handful of its greatest franchises, together with EA Sports activities, Apex Legends, Star Wars: Jedi, Iron Man, Black Panther, Battlefield, Want for Velocity, Dragon Age, Skate, and The Sims. IGN additionally has realized {that a} staff remains to be working in pre-production on the following Mass Impact, although Bioware’s present focus stays on Dragon Age.
“It is not misplaced on me that these modifications are greater than phrases on a web page; they instantly influence the work you do day-after-day and, in some circumstances, imply we’re eliminating roles and saying goodbye to gifted colleagues,” wrote Miele. “I’ll by no means lose sight of the human influence of those choices, and know that change and disruption aren’t simple. In troublesome moments, we should keep in mind how vital it’s to indicate up for our gamers and for one another.”
The video games trade continues to be rocked by layoffs
For the monetary quarter ending in December of 2023, EA reported web bookings of $2.37 billion (up 7% yr over yr) and web income of $1.945 billion, largely pushed by EA Sports activities FC and Madden. The corporate’s layoff of roughly 670 people is one more occasion of ongoing mass layoffs rocking your complete trade, impacting roughly 10,000 builders in 2023, and approaching 8,000 in simply the primary two months of 2024. EA itself already laid off 6% of its workforce virtually a yr in the past, with Wilson on the time citing very comparable motivations to this yr’s. Regardless of these layoffs, the entire headcount previous to at this time’s cuts is increased (13,400) than it was over the past mass layoff (12,900).
The corporate’s SEC submitting states that the corporate will tackle roughly $125 million to $165 million in prices in reference to these layoffs, together with prices associated to workplace area reductions, severance, and prices associated to licensor commitments, possible associated to the canceled Star Wars recreation.
Rebekah Valentine is a senior reporter for IGN. Acquired a narrative tip? Ship it to rvalentine@ign.com.