Jump to content

Home

Electronic Arts to slash 1,000 jobs


Yar-El

Recommended Posts

Article - Electronic Arts to slash 1,000 jobs

 

I wonder what this might mean for the SWTOR game -

NEW YORK - Electronic Arts Inc. plans to slash hundreds of jobs in addition to the layoffs it announced earlier this fall, with the total amounting to about 10 percent of its work force, or about 1,000 people.

 

The company, which had said in October it plans to reduce its work force by 6 percent — or about 500 or 600 people — said Friday it will close at least nine studio and publishing locations.

EA, whose games include the "Madden" football franchise and "Rock Band," had warned last week that its fiscal 2009 profit and sales will miss its earlier outlook because of weak holiday sales. The company said at the time it is planning further job cuts, but did not give a number.

 

The job cuts and restructuring will save EA about $120 million a year, and will lead to charges of about $55 million to $65 million over the next several quarters, the company said. Most of the layoffs will take place by the end of March.

 

EA, whose holiday lineup of games was not as good as hoped, plans to narrow is product portfolio to focus on hit games with higher profit margins. At the same time, the company said it "remains committed" to taking creative risks and investing in new games.

 

Among the facilities EA is closing is the Black Box Studio in Vancouver, Canada. The studio's development teams and game franchises will move to a nearby EA studio. The studio developed the racing game "Need for Speed Undercover," which has not done very well over the holidays, according to analysts.

 

Shares rose 59 cents, or 3.5 percent, to $17.35 in morning trading. EA's shares are down nearly 72 percent year-to-date.

Link to comment
Share on other sites

I was also going to link to that same news post. So I do not think this should have any effect on TOR. It sucks for all those people that are losing their jobs, but I'm not sure what I think about it from a gamer's perspective. Sure, they say they are still "committed to taking creative risks" but is that just fluff or will they really? "Hit games with higher profit margins" pretty much means Madden '10, Rock Band 3, and their other proven franchises that they can pump out sequels from each year. One franchise that was supposed to be a trilogy is Mirror's Edge, but with poor sales will EA dump the game? That is what I do not like about this.

Link to comment
Share on other sites

I was also going to link to that same news post. So I do not think this should have any effect on TOR. It sucks for all those people that are losing their jobs, but I'm not sure what I think about it from a gamer's perspective. Sure, they say they are still "committed to taking creative risks" but is that just fluff or will they really? "Hit games with higher profit margins" pretty much means Madden '10, Rock Band 3, and their other proven franchises that they can pump out sequels from each year. One franchise that was supposed to be a trilogy is Mirror's Edge, but with poor sales will EA dump the game? That is what I do not like about this.

I hope your right Moeller. I do have some reservations of paying monthly fees; however, I do want to try The Old Republic out. I hope it doesn't get slashed.

Link to comment
Share on other sites

I thought it was LucasArts who were calling the shots on this game, while EA just owned BioWare?
I think you're right. The game's publisher is listed as both LucasArts and BioWare so while yes BioWare is owned by EA I think LucasArts would have more of a say.
Link to comment
Share on other sites

i really feel for the people being cut loose
I wouldn't worry too much, most of them will probably find jobs at other video game companies, or they'll form their own corporations. It's happened before, for example, when Interplay and Black Isle Studios went belly up, Chris Avellone and several other members left and formed Obsidian Entertainment, which in turn developed KotOR II.

 

So in hindisght, some good might come out if massive layoffs after all.

Link to comment
Share on other sites

It just means less staff individually taking on more in their jobs. Maybe.

 

If nothing else it might slow down production a bit. It sounds like the game is taking on too much in terms of story line and of features. The game's shortcomings probably won't be because of staff shortages, it will be because of the same over ambition undertaking such a vast and massive project.

 

Honestly, it will end up being however it ends up ultimately due to LucasArts.

 

I pray that another disappointment is not the case as SW doesn't need any more letdowns. Still, I doubt if I will be playing it even if it is that good, simply because I don't do online gaming.

Link to comment
Share on other sites

Archived

This topic is now archived and is closed to further replies.

×
×
  • Create New...