This Week in Business is our weekly recap column, a collection of stats and quotes from recent stories presented with a dash of opinion (sometimes more than a dash) and intended to shed light on various trends. Check every Friday for a new entry.
23.01.2024 - 03:43 / engadget.com / Marc Merrill / Dylan Jadeja
Earlier today, Riot Games announced that it is eliminating 530 roles globally, which make up about 11 percent of its workforce. The company publicly delivered this devastating news in two separate posts — one for players, and another for «Rioters,» with the latter detailing severance package and some other benefits to treat the dismissed employees «with respect and grace.»
Additionally, Riot Games shared that it is sunsetting its publishing label, Riot Forge, which has worked on six titles — including Bandle Tale: A League of Legends Story due to be released on February 21. In their joint letter to gamers, CEO Dylan Jadeja and co-chairman Marc Merrill described Forge as «an experiment to see what would happen when Rioters partnered with their favorite indie devs,» but now «it's time to refocus» on their internal projects. Forge will cease operation once it's done publishing Bandle Tale.
The execs also admitted that their digital collectible card game, Legends of Runeterra, hasn't been doing well enough financially since its launch in 2020. In the hopes of making this title more sustainable, its development team will be downsized, with its focus shifted to its more popular «The Path of Champions» single-player game mode.
Riot Games' cutback is the latest blow to the video game industry, after a total of around 9,000 people lost their jobs in 2023 alone. Embracer Group and Unity both laid off around 900 people each, whereas Epic Games fired about 830 people, and EA dismissed more than 1,000 employees. 2024 has only just began, and we fear that this is just the tip of the iceberg for the entire tech industry.
This Week in Business is our weekly recap column, a collection of stats and quotes from recent stories presented with a dash of opinion (sometimes more than a dash) and intended to shed light on various trends. Check every Friday for a new entry.
Reikon Games, the developers behind cyberpunky top-down shooter Ruiner, have reportedly become the latest studio to lay off dozens of staff, with over half of the Polish indie said to have lost their jobs earlier this week.
Reikon Games has reportedly laid off 60 to 70 people, equating to 56 percent of the company.
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Ruiner developer Reikon Games has reportedly laid off 60 to 70 people, or roughly 80% of its workforce, according to Kotaku.
According to reporting from Kotaku, Black Forest Games has announced the termination of 50% of its overall workforce, which was said to be around 110 employees in 2023. They join a growing list of layoffs experienced in the industry, which continues to accelerate from last year.
Update: This story has now been updated with a response from a Microsoft spokesperson.
Microsoft has laid off 1,900 employees from its gaming division—mainly roles at Activision Blizzard King, but also some at Xbox and ZeniMax Media.
The new year continues to be a difficult one for the games industry, with Riot Games announcing layoffs affecting about 11% of their global workforce, or around 530 people. The company is also trimming its portfolio, shutting down Riot Forge, pulling back on some other projects, and recentering on its four core live titles: League of Legends, Teamfight Tactics, Valorant, and Wild Rift.
Riot Games is laying off about 530 employees, which represents 11% of its workforce, the Tencent-owned company announced on Monday. The League of Legends maker is also sunsetting its five-year-old publishing group, Riot Forge.
Riot Games have announced that they will shortly lay off "about 530" people, or 11 per cent of their global workforce, so as to "create focus and move us towards a more sustainable future", in the words of CEO Dylan Jadeja. The "biggest impact" will be felt outside of core development, though they'll affect at least one major internal team - the developers of Legends Of Runeterra. Riot are also binning off the Riot Forge publishing label, under which third-party developers create smaller-scale games based on Riot's own intellectual properties.
League of Legends developer Riot has announced that its upcoming Stardew Valley-style spin-off will be the last game in its promising indie effort.