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EA To Lay Off 670 Employees In Restructuring

By Nithya Bose in Business News, posted February 29, 2024

Electronic Arts (EA) is to eliminate five percent of its workforce, or around 670 positions, in a major restructuring.

The company plans to reduce office space and stop the development of certain video games.

As of March 2023, EA had 13,400 employees, based on information filed with the US Securities and Exchange Commission in May.

This move is the latest in job losses among video game companies.

This announcement came a day after Sony revealed plans to dismiss around 900 employees from its PlayStation division, equating to eight percent of its staff.

Last month, Microsoft slashed 1,900 roles within its gaming division after acquiring Activision Blizzard.

Tencent's Riot Games also reported a reduction of 11 percent of its staff.

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EA CEO Andrew Wilson told staff the firm is “streamlining our company operations to deliver deeper, more connected experiences for fans everywhere.”

He added: “We are continuing to optimize our global real estate footprint to best support our business.

“We are also sunsetting games and moving away from development of future licensed IP that we do not believe will be successful in our changing industry.”

The restructuring is expected to be largely completed by the end of December.

Wilson said the layoffs will enable EA to focus on its “biggest opportunities — including our owned IP, sports, and massive online communities.”