Activision Blizzard Inc. will lay off nearly 400 employees across its mobile gaming divisions, following the company’s $75.4 billion merger with Microsoft Corp. last year.
The layoffs are part of an effort to reduce redundancies created by the merger, as confirmed by recent filings with the California Employment Development Department (EDD).
Impact Across California Offices
The job cuts will affect Activision Blizzard’s operations from Northern California’s Novato and Foster City to its Southern California offices.
This move adds to the 1,003 positions already eliminated by the company in the past year, as it continues to streamline its workforce following the merger.
Key details:
- 140 positions will be cut at Blizzard Entertainment’s Irvine headquarters starting October 11.
- Roles impacted range from accountants, software engineers, and human resources staff to artists, game designers, and producers. High-level positions like game directors and vice presidents are also included in the layoffs.
According to Leslie Campbell, Activision Blizzard’s Director of Human Resources, the layoffs are part of a larger effort to reduce duplication of roles across the merged companies.
Confirmation and Context from Activision Blizzard
Activision Blizzard spokeswoman Delay Simmons confirmed the layoffs are part of previously announced reductions.
These cuts come on the heels of earlier job eliminations, which included:
- 1,900 positions cut in January across various divisions of Microsoft Gaming, which includes Activision Blizzard, Xbox, and ZeniMax Media.
- An additional 650 job reductions were announced earlier this month.
The recent layoffs will primarily impact corporate and support roles, along with some positions within gaming teams. Specifically, software designers, engineers, and product managers working on mobile versions of popular games such as Call of Duty: Warzone and World of Warcraft are among those affected.
Further Job Reductions in Southern California
Additional layoffs will occur at Activision’s Jefferson Boulevard studio in Playa Vista and the Olympic Boulevard studio in Santa Monica.
These layoffs are expected to start on October 11 and will continue until the end of the year, as part of the company’s ongoing restructuring process.
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Reasons Behind the Layoffs
Gaming research analyst Michael Pachter from Wedbush Securities said overlapping teams were working on similar mobile projects, leading to redundancies.
This overlap made certain roles unnecessary, prompting Activision Blizzard to make these tough decisions to consolidate its workforce.
Legal Requirements and WARN Notice Compliance
These job cuts are being carried out as part of the WARN notice process, a legal requirement in California that mandates employers to provide notice for mass layoffs involving more than 50 employees.
This process ensures that affected workers are given adequate time to prepare for the transition and explore new opportunities.
Looking Ahead: Activision Blizzard’s Restructuring
The layoffs come as the company continues to navigate its integration with Microsoft and adapt to the evolving demands of the gaming industry.
Despite the challenges, the merger aims to strengthen Activision Blizzard’s market position, streamline operations, and drive future growth, though it means significant changes for many employees in the short term.
