EA to Lay Off Around 670 Workers, Sunsetting Games, 'Moving Away From Future Licensed IP'

28.02.2024 - 22:11 / ign.com / Andrew Wilson

Electronic Arts has announced that it, too, is undergoing mass layoffs, with plans to let go 5% of its total global staff, or roughly 670 individuals.

In a note today sent to staff, CEO Andrew Wilson said that EA is reacting to "accelerating industry transformation where player needs and motivations and changed significantly." Crucially, EA also said that it is "moving away from the development of future licensed IP." EA currently has several confirmed Star Wars and Marvel games in development, including a third Jedi game, Black Panther, and Iron Man.

According to Wilson, EA will double down on owned IP, sports, and "massive online communities." While Wilson did not provide details on which games would be sunset, EA already announced it would be shuttering two mobile games: F1 Mobile Racing and MLB Tap Sports.

"This greater focus allows us to drive creativity, accelerate innovation, and double down on our biggest opportunities — including our owned IP, sports, and massive online communities — to deliver the entertainment players want today and tomorrow. Lastly, we are streamlining our company operations to deliver deeper, more connected experiences for fans everywhere that build community, shape culture, and grow fandom," Wilson wrote.

IGN understands that these layoffs will impact a number of teams across EA, largely affecting support teams. While some developers will also be impacted, EA largely hopes to move them off of canceled projects and onto other teams. Per Wilson, these changes are already being communicated, and will "largely" be completed by early next quarter.

"I understand this will create uncertainty and be challenging for many who have worked with such dedication and passion and have made important contributions to our company," wrote Wilson. "While not every team will be impacted, this is the hardest part of these changes, and we have deeply considered every option to try and limit impacts to our teams. Our primary goal is to provide team members with opportunities to find new roles and paths to transition onto other projects. Where that’s not possible, we will support and work with each colleague with the utmost attention, care, and respect."

This marks yet another major blow to the games industry coming off of a year and a half of ongoing mass layoffs at studios of all sizes. The cuts impacted roughly 10,000 developers in 2023, and are approaching 8,000 in just the first two months of 2024. Just earlier this week, PlayStation laid off 900 staff and closed its London studio, while Die Gut Fabrik shut down and Supermassive laid off 90.

While many have suggested this wave of mass cuts is occurring due to company overspending and overhiring during the COVID-19 pandemic, game developers have