EA Expected to Cut Jobs, Laying Off Additional 400 Developers

EA Announces Closure of Cliffhanger Games Amid Industry Layoffs

In a surprising move, Electronic Arts (EA) has officially announced the closure of Cliffhanger Games, a studio based in Seattle that was established six years ago by Kevin Stephens, known for his roles in the development of Middle-earth: Shadow of Mordor. The studio was in the midst of developing an original game based on the iconic Black Panther character from Marvel Comics.

Recent Layoffs Indicate Ongoing Challenges

This announcement follows a significant reduction in workforce at EA, where approximately 300 to 400 employees were laid off from Respawn Entertainment just a month earlier. New reports from the Spanish insider eXtas1s suggest that additional layoffs could be imminent, with the possible shutdown of Codemasters’ central headquarters, affecting roughly 400 more developers.

Integration into EA Sports Projects

Insider sources indicate that these layoffs may lead to an integration of the affected employees into ongoing EA Sports projects, particularly focusing on the new Formula 1 title and a forthcoming installment of the Need for Speed franchise. This strategy reflects EA’s attempt to consolidate resources and remain competitive in the gaming industry.

The Impact on the Gaming Industry

This wave of consolidations and layoffs marks a significant upheaval in the gaming industry, which has already faced a series of challenges throughout this year. The consolidation trend could be perceived as a necessary adjustment in light of the evolving market dynamics and consumer preferences.

Codemasters Under EA’s Ownership

Prior to its restructuring, EA outbid Take-Two to acquire Codemasters for $1.2 billion, a strategic move that CEO Frank Sagnier embraced as a “perfect fit.” Nevertheless, Codemasters has undergone substantial changes since the acquisition, including a merger with Criterion to enhance the Need for Speed series. Recent developments also indicated that Codemasters would discontinue producing WRC games due to the recapture of the license by Nacon.

Focus on Formula 1 Games

It appears that EA is steering Codemasters toward a concentrated focus on developing new Formula 1 games. The most recent release, F1 25, has garnered positive reviews for its refined presentation, improved my team mode, and various enhancements. Chris Wray’s detailed review emphasized that while the game does have minor issues, it remains an impressive addition to Codemasters’ portfolio.

For more insights on the latest developments in the gaming space, especially regarding EA’s strategic decisions and new releases, check out the details at the following link:

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