PlayStation has announced it is cutting 8 per cent of its global workforce, with 900 members of staff now without a job.

The news was confirmed yesterday (February 27) by Sony Interactive Entertainment CEO Jim Ryan, who is also set to step down next month, in a blog titled “difficult news about our work force”.

The “extremely hard decision” means PlayStation’s London office will close completely, while  Insomniac Games, Naughty Dog, Guerrilla Games and PlayStation’s technology, creative and support teams will also be impacted by a “reduction in workforce”.

“These are incredibly talented people who have been part of our success, and we are very grateful for their contributions,” said Ryan in a statement. “However, the industry has changed immensely, and we need to future ready ourselves to set the business up for what lies ahead.”

“We need to deliver on expectations from developers and gamers and continue to propel future technology in gaming, so we took a step back to ensure we are set up to continue bringing the best gaming experiences to the community,” he added.

PlayStation Studios boss Hermen Hulst also released a statement confirming that several unannounced games would be cancelled as part of the cuts. “We looked at our studios and our portfolio, evaluating projects in various stages of development, and have decided that some of those projects will not move forward,” he said in a statement.

“Our philosophy has always been to allow creative experimentation. Sometimes, great ideas don’t become great games. Sometimes, a project is started with the best intentions before shifts within the market or industry result in a change of plan.”

“PlayStation 5 is in its fourth year, and we are at a stage where we need to step back and look at what our business needs,” Hulst continued. “At the same time, our industry has experienced continuing and fundamental change which affects how we all create, and play, games.”

“Delivering the immersive, narrative-driven stories that PlayStation Studios is known for, at the quality bar that we aspire to, requires a re-evaluation of how we operate,” he added with the studio needing to take a “different approach” with “different resources” to launch games on PC and Mobile while continuing to deliver and sustain “social, online experiences.”

Earlier this month, Larian Studios hit out at a number of companies laying-off development staff to maximise profits for shareholders.

“There’s an expression in Dutch—’honesty lasts longest’,” said Larian’s head of production David Walgrave “We don’t make decisions where we think ‘this could make us the most money’ [because] in the long run, building a community, building a playerbase, building games that are actually fun is going to make you the most money, that’s it.”

The post PlayStation cuts 900 jobs, cancels several games and “reevaluates” how it operates appeared first on NME.


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