Epic Games, the studio that created Fortnite, has decided to apply a severe staff cut. As reported by Jason Schreier, of Bloombergthe company has laid off 16% of its staffa measure that hits approximately 900 employees.
The reasons behind the determination have not yet been disclosed. In fact, the company has not yet commented publicly on the matter. The aforementioned journalist, one of the most reputable sources in the video game industry, indicates that the affected workers were informed through an internal email.
According to the information available, rumors of layoffs at Epic Games began to circulate strongly this morning. Employees who have been impacted they lost their access to Slack before they are informed of the decision.
Dismissed workers will receive 6 months of compensation and health benefits, as was known. Epic Games executives would hold a meeting with the rest of the staff to disclose details of the matter, Schreier explained.
Epic Games lays off 900 employees and modifies its business strategy
An important fact that emerges from this situation is that Epic Games has not only decided to lay off 16% of its staff. The company will also modify its business strategy through a disinvestment process. In principle, those led by Tim Sweeney will release two signatures.
On the one hand, They will sell Bandcamp to Songtradr, a firm that serves as a bridge between artists and digital platforms for the use of their licensed music. The determination is quite striking, considering that Epic Games had finalized the acquisition of the music service in March 2022.
Besides, They will cut ties with SuperAwesome, your marketing company. This company, which was founded in 2013 with the goal of making the internet safer for children, was acquired by Epic Games in 2020. Going forward, it will operate independently again.
Regarding layoffs, It is still unknown which areas of Epic Games have been most affected. Let’s keep in mind that the company has a very important presence in the world of video games, not only with the immensely popular Fortnitebut also through the Unreal Engine graphics engine.
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