Epic Games Is Cutting About 900 Jobs, or 16% of Staff
Epic Games Is Cutting About 900 Jobs, or 16% of Staff
Is it because of all the free games I claimed?
no, it’s because you didn’t buy enough fortnite skins
Or OP bought so much the suits thought of ways to keep the profit gravy train to go even faster.
Yes. And they would be even more upset if you didn't play the free games you claimed.
Well ... you know ... so little time ...
Probably because giving away free games didn't end up selling more of the other games on the storefront.
Supposedly the whole Fall Guys team at Mediatonic, who Epic just acquired, were let go. Including the game director.
I'm sure the Fall Guys owner who sold it is happy. Made bank and all it cost them was the livelihoods of all the people who made the game.
Isn't that the startup dream? To get acquired, then bail?
Sucks for the low level employees losing their jobs, but I can't possibly feel bad about Epic losing money. Garbage company that needs to lose their grip on the industry after the shit they pulled with Epic Game Store and buying up games/studios just to delist their games from Steam, axe the Linux support, and make them exclusives on the worst platform in gaming.
Company was ‘spending way more than we earn,’ CEO said in memo
It needs a genius to see that. All those contracts for timed exclusivity, all those games given for free. Most people just play free to play games on the platform and get the games for free. I thought the idea was to eat the cost and spend more money than to earn, so they can build a loyal customer base. If that wasn't the entire goal, what was it then? Why punish the staff (holy cow its 870 employees!) by cutting them off the company now? The store and launcher of Epic games already struggle to get better.
Unfortunately I can't read the article on Bloomberg, as it requires an account.
All these companies that are suddenly having layoffs and/or enshittifying everything at once all shared the same basic business model (pardon the Bronze Age meme format from Slashdot...):
- Give goods or services away for free
- Attract customers on the basis of getting goods or services for free
- ???
- Profit!
Years of basically free debt service and stupid VC money let them kick the can down the road for a long time in terms of figuring out what Step 3 was gonna be, up to the point that many such services didn't even bother, replacing both Steps 3 and 4 with "Sell to whichever FAANG is sucker enough to think they can leverage our userbase for their own product." High interest rates have suddenly put a stop to the money party, though, and now they're all scrambling to find ways of aggressively monetizing their services.
I'm guessing it was the goal but it didn't work as well as they'd hoped. I've got a couple of the freebies but I've stuck mostly with Valve because most of my games are already on Steam and they haven't seriously fucked up yet.
I imagine this is a mix of things. UE5 has officially been out for a while, their biggest competitor just offed themselves, Fortnite's UE editor support is out and thus Fortnite probably doesn't need as many devs now with UGC to pick up the slack, etc.
That's still a huge chunk of people though. Wonder if all these financial gambles they've taken are starting to add up.
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I don't know what it costs Epic to grab all these "exclusives", and I know lots of people (myself included) who just wait and get whatever it is on Steam anyway. It can't cost nothing, and it doesn't seem to be terribly good business.
Likewise, devs must make something when Epic offers a game for free (I think?).
It does seem to me like a deep-pockets game, and I'm not sure how deep Epic's are anymore.
Honestly they'll have money as long as people keep playing fortnite, kids are throwing stupid money at skins and shit.
Yeah, so... being in the gaming industry really sucks right now.
Go give a hug to your local gamedev. They probably need it.
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And before that in the big 2008 crisis, sure. And, to put forth a silver lining, layoffs tends to get a lot of press and happen all at once, while people start new projects and get new jobs all the time without making headlines.
It still sucks to see social media erupt in lost job notifications every so often, though.
I think this time bothers me more because... well, there isn't much reason for it. Mostly everything blew up during the pandemic, a lot of money was made and now things are going back to baseline. But public companies will NEVER report they're shrinking if they can help it, and if they do they will try to appear to be becoming cheaper to compensate, so the obvious call is to let go of a bunch of people you were mostly hoarding anwyay.
The takeaway here, if you ask me, is to never have loyatly for an employer, at least when it comes to moving on to a different job or ask for better conditions. This sort of thing happens all the time and especially publicly traded companies will not hesitate to cut you loose if it makes business sense. You have less leverage, so the thing to do is a) bargain collectively to get more of that leverage, and b) treat your labour negotiations with the company with the same business sense they do.
In the meantime, I still recommend hugging a developer. Patting lightly the back of the head could also be acceptable. Just ask for a preference first.
Just a quick reminder that Epic is owned by Tencent.
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Thanks for the clarification!
For real??
No, they own 40%.
This is why people really have to start caring about who they work for, and professionally represent. It's a tough, very unfair lesson to learn unfortunately. But if the company you are working for starts acting unethically, trust me (as someone who has learned the hard way), it's a slippery slope that quickly has no bottom.
Of course the little guy pays the price here, as usual, and my sincere hope is that they all quickly bounce back into better roles.
As for Epic? I hope their bottoms have no bottom.
I think we need more worker protections. Mandatory severance, can't fire without cause.
A lot of people don't get much choice who they work for. Basic devs and QA and now out of as job and need to scramble to find another job. It's nice some of these are getting severance but it's not mandatory nor the norm in America.
You always have a choice in who you work for. I'm not saying sometimes this choice doesn't get frustratingly complicated, it does. But you always ultimately have that choice. More worker protections aren't going to do shit either, too many peeons are brainwashed to ever successfully see it through, and with more regulations come more loopholes.
Nope, the only thing that's going to work, is if people finally wake the hell up, and grow a pair to collectively do something about it. Might never be possible, but if it isn't, well stuff like this isn't ever going to change. What if the entire staff of Epic, in response, just decided to not show up tomorrow onwards? Stood the line through all the threats...Epic would quickly be in very big trouble. The buck would end there, and change would get forced.
Well, prolly just gonna milk all that IP. What is the point of developing when we got armies of people spending great money as is.