Epic Games set to lay off roughly 900 employees across multiple departments, including the team behind Fall Guys

Epic Games set to lay off roughly 900 employees across multiple departments, including the team behind Fall Guys

(credits: Epic Games)

The recent few years have been really great for video games. Many video games have come out recently and totally shook the gaming community. Moreover, fans can consider almost every game released as a Game of the Year contender. However, the state of gaming studios or companies in the gaming sector is not so great. Recently, reports have surfaced of Epic Games set to lay off roughly 16% which is 900 employees across it’s multiple departments, including the team behind Fall Guys!

Recently, many studios, gaming companies, and eSports Orgs have laid off quite a lot of their staff. Sentinels, one of the most famous American eSports Orgs, also quite recently laid off their staff amidst a financial crisis. Furthermore, it seems like Epic Games has been falling suit. The company had recently been investing a lot in games, and it seems to have backfired on the company!

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The company bought Rocket League in 2019 and Falls Guys in the year 2021. Moreover, the company made the games free to play and tried to capitalize on the skin and cosmetics market of the games. The company also invested in a Music app for iOS and Android called Bandcamp. However, now the company is taking some drastic financial measures.

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Epic Games set to lay for 900 employees, around 16% of their work force

The layoffs at Epic Games will affect about 16% of the workers, and it seems that Fall Guys creator Mediatonic has been hit particularly hard. Several staff, including director and writer Ed Fear, have announced their job losses on X (formerly Twitter). In the tweet, he wrote, “Unfortunately, I am one of the people affected by the layoffs today at Epic. I’m absolutely devastated to leave behind so many amazing Mediatonic colleagues who I loved.”

(credits: Epic Games)

The company also said that it is divesting Bandcamp, a website for an online audio distribution platform that it bought last year. The company is also spinning off the majority of SuperAwesome, a kid-safe technology developer that it purchased in 2020. Bloomberg was the first to break the news of the layoffs.

CEO of Epic Games, Tim Sweeney, said,

“While ‘Fortnite’ is starting to grow again, the growth is driven primarily by creator content with significant revenue sharing, and this is a lower margin business than we had when ‘Fortnite Battle Royale’ took off.” He further said, “We’re cutting costs without breaking development or our core lines of businesses so we can continue to focus on our ambitious plans. About two-thirds of the layoffs were in teams outside of core development. Some of our products and initiatives will land on schedule, and some may not ship when planned because they are under-resourced for the time being. We’re ok with the schedule tradeoff if it means holding on to our ability to achieve our goals, get to the other side of profitability and become a leading metaverse company.”

This layoff has totally left everyone in the gaming industry in shock. Moreover, a lot of studios and employees have been hit hard. And the team behind Fall Guys has exponentially been hit the worse!

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