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[GHG]

So what you mean is anyone with any brains has left the UK because the pay is bad for the same work.

It's not necessarily that the pay is "bad" there, it's the cost of living combined with all the direct and indirect taxes that crushes people.

In a lot of cases people can take a gross pay reduction when moving overseas and still be better off in terms of net disposable income once all is said and done.

 

[adamsapple]

More details, multiple major studios effected.

 

[StueyDuck]

I mean if that's current studio London then I'm not surprised. I think Jim is older than all of their ages added together.

More like studio my first game class 101

 

[iHaunter]

There are tons of layoffs happening across several different types of industries. The economy is shit.

The economy is in a great state actually. It's over borrowing and over hiring during COVID that was the issue.

 

[Thick Thighs Save Lives]

adamsapple More details on the layoffs: https://sonyinteractive.com/en/news/blog/an-important-update-from-playstation-studios/

Today, Sony Interactive Entertainment initiated a reduction in our workforce – including within PlayStation Studios – and I wanted to talk about the impact that will have.

These decisions have been extremely difficult, but they are necessary, and I think it’s important to be transparent:

The US based studios and groups impacted by a reduction in workforce are:

• Insomniac Games, Naughty Dog, as well as our Technology, Creative, and Support teams

In UK and European based studios, it is proposed:

• That PlayStation Studios’ London Studio will close in its entirety;
• That there will be reductions in Guerrilla and Firesprite

These are in addition to some smaller reductions in other teams across PlayStation Studios.

Add them to the OP.

 

[Ass of Can Whooping]

So what you mean is anyone with any brains has left the UK because the pay is bad for the same work.

Step 1. Realise UK is shit for work
Step 2. Get job in US
Step 3. Sell house and relocate
Step 4. Get laid off before first day

 

[Darsxx82]

Goddamn this is rough.

But, but ..... Its different

Nothing that was not already pre-announced (although some would like to look the other way until it was announced). It's the Industry in general, massive layoffs were going to happen with or without consolidation. It is a general post-Covid readjustment.

That said, 900 layoffs is much more than one would expect even though the CEO's words already reveal a significant amount.

 

[adamsapple]

adamsapple More details on the layoffs: https://sonyinteractive.com/en/news/blog/an-important-update-from-playstation-studios/



Add them to the OP.

reuested title change as well.

 

[BigLee74]

That fucking Phil!

 

[Saiyan-Rox]

Getting rid of all those SJW staff they hired to fit in?

 

[Jaybe]

UK being punished for CMA /s

 

[GHG]

More details, multiple major studios effected.

This is serpentine reporting, but we all know why.

The "PC and mobile" statement is completely unrelated to these layoffs but Warren is attempting to conflate the two.

 

[DrFigs]

thank goodness they're firing people to focus on their pc stuff. really awesome.

 

[Draugoth]

adamsapple More details on the layoffs: https://sonyinteractive.com/en/news/blog/an-important-update-from-playstation-studios/



Add them to the OP.

 

[Jaybe]

This is serpentine reporting, but we all know why.

The "PC and mobile" statement is completely unrelated to these layoffs but Warren is attempting to conflate the two.

Yep. Tom wasn’t happy with just a direct quote, needed to editorialize.

 

[StueyDuck]

This is serpentine reporting, but we all know why.

The "PC and mobile" statement is completely unrelated to these layoffs but Warren is attempting to conflate the two.

Expecting actual proper real life journalism in 2024 let alone from game journalists is a tough pill to swallow.

 

[Team Andromeda]

This is serpentine reporting, but we all know why.

The "PC and mobile" statement is completely unrelated to these layoffs but Warren is attempting to conflate the two.

It's from Tom, the man's a total prick trying to get noticed when people are losing their jobs. He's Scum

 

[ResilientBanana]

This is what happens when a whole industry dips even just a little.

 

[SodaZA]

Fuck not London studio
Was really looking forward to their new fantasy game

 

[ReBurn]

I think the point is they shouldn't have been borrowing so much during a time where revenue was so high, but rather investing their profits in improving the way they do business. They foolishly expected the growth to continue when that was never a realistic possibility.

I don't believe they thought they needed to improve the way they do business prior to the previous quarter. They've been doing what they always do, which is focus on growing the install base by getting more consoles into people's hands. In the past when that happened there was an uptick in software sales large enough to offset the loss caused by the hardware bundles. That growth in software revenue didn't happen the same way this time. Now they are taking action in response.

 

[BennyBlanco]

This is serpentine reporting, but we all know why.

The "PC and mobile" statement is completely unrelated to these layoffs but Warren is attempting to conflate the two.

An Important Update from PlayStation Studios

Today, Sony Interactive Entertainment initiated a reduction in our workforce – including within PlayStation Studios – and I wanted to talk about the impact that will have. These decisions have been extremely difficult, but they are necessary, and I think it’s important to be transparent: The...

sonyinteractive.com

it's in a separate statement from Hermen. Why they needed 2 statements for this, who the fuck knows.

 

[hemo memo]

This is fucked

 

[tusharngf]

Those massive budgets

Ps5 selling less for the quarter and madam web costed these jobs

 

[Tal Shiar Agent]

Yep. Tom wasn’t happy with just a direct quote, needed to editorialize.

Standard operating procedure for Tom, dickless even got banned from Era for it for a bit.

 

[FeralEcho]

The cost of everything is going up, so companies are tightening there belts.
I work in the luxury motor vehicle business and we have seen lay offs too, no one is buying luxury items like they used to.

Conpanies:

Cost of everything going up,no one is buying our shit,lets lay off people to ensure economic stability,no one has job,cost of everything is still up,why is no one buying our shit ?

I'm convinced mentally retarded people have a monopoly on the CEO positions in these companies.No other explanation,it's simply too retarded.

 

[GHG]

This is what happens when a whole industry dips even just a little.

The industry got too big it's boots during covid. They thought and hoped the boom period they enjoyed while everyone was forced indoors would stick.

They set unsustainable targets, overhired, over-aquired and overleveraged and this is the result.

 

[SidViscous]

What dirt does Media Molecule have on Jim?

 

[Punished Miku]

An Important Update from PlayStation Studios

Today, Sony Interactive Entertainment initiated a reduction in our workforce – including within PlayStation Studios – and I wanted to talk about the impact that will have. These decisions have been extremely difficult, but they are necessary, and I think it’s important to be transparent: The...

sonyinteractive.com

it's in a separate statement from Hermen. Why they needed 2 statements for this, who the fuck knows.

"We looked at our studios and our portfolio, evaluating projects in various stages of development, and have decided that some of those projects will not move forward. "

Massacre. Studio closed, games canceled, and layoffs.

Meanwhile Insomniac out there selling DLC for charity.

 

[hemo memo]

The industry got too big it's boots during covid. They thought and hoped the boom period they enjoyed while everyone was forced indoors would stick.

They set unsustainable targets, overhired, overaquired and overleveraged and this is the result.

Yet they were crying in the covid days and how covid is affecting them badly. So which is it?

 

[YCoCg]

Step 3. Sell house and relocate

Woah woah woah, hold it there, you think a person earning a game dev salary can afford to own a house in England?

 

[adamsapple]

Yep. Tom wasn’t happy with just a direct quote, needed to editorialize.

Standard operating procedure for Tom, dickless even got banned from Era for it for a bit.

He's paraphrasing Herman Hulst (not Jim) , there's two statements from Playstation out today. The PC and mobile part is in the second one.

An Important Update from PlayStation Studios

Today, Sony Interactive Entertainment initiated a reduction in our workforce – including within PlayStation Studios – and I wanted to talk about the impact that will have. These decisions have been extremely difficult, but they are necessary, and I think it’s important to be transparent: The...

sonyinteractive.com

Delivering and sustaining social, online experiences – allowing PlayStation gamers to explore our worlds in different ways – as well as launching games on additional devices such as PC and Mobile, requires a different approach and different resources.

 

[GHG]

Yet they were crying in the covid days and how covid is affecting them badly. So which is it?

It affected them negatively in terms of meeting demand (because of the logistics shutdown and subsequent lag after restarting) and production. Two different things.

Don't get it twisted, they weren't moaning about everything.

 

[StueyDuck]

This is what happens when a whole industry dips even just a little.

Thing is... its really not, games are selling better than ever.

It's really , as some have said here, a mix of poor leadership, bad external influences to several global economies, the covid inflation , the inflation to the cost of living and finally an unemployable work force who entered the market 2-5 years ago that are more politically oriented than skill oriented.

There's probably even more to mention but if you add the above into a boiling pot that's essentially what many companies, especially in anything tech related are having to confront.

 

[efyu_lemonardo]

I don't believe they thought they needed to improve the way they do business prior to the previous quarter. They've been doing what they always do, which is focus on growing the install base by getting more consoles into people's hands. In the past when that happened there was an uptick in software sales large enough to offset the loss caused by the hardware bundles. That growth in software revenue didn't happen the same way this time. Now they are taking action in response.

Hard to have an uptick in software sales when very little first party software is released. They misjudged the effect long development times and inflated budgets would have on consumer engagement.

 

[mansoor1980]

The US based studios and groups impacted by a reduction in workforce are:

• Insomniac Games, Naughty Dog, as well as our Technology, Creative, and Support teams

In UK and European based studios, it is proposed:

• That PlayStation Studios’ London Studio will close in its entirety;
• That there will be reductions in Guerrilla and Firesprite

oof

 

[Mr Moose]

With any luck it'll reduce the number of pink haired employees.

 

[ResilientBanana]

Thing is... its really not, games are selling better than ever.

It's really , as some have said here, a mix of poor leadership, bad external influences to several global economies, the covid inflation , the inflation to the cost of living and finally an unemployable work force who entered the market 2-5 years ago that are more politically oriented than skill oriented.

There's probably even more to mention but if you add the above into a boiling pot that's essentially what many companies, especially in anything tech related are having to confront.

Some games are selling well. But yes the industry is down despite the most recent game successes.

This article explains what's happening.

The video game industry is in trouble. Here's why.

Video games have hit a rough patch: Sales are down, usage is down, and layoffs are spiking. There isn't an obvious solution showing up anytime soon.

www.businessinsider.com

 

[DaGwaphics]

Depends on where their debt is held. Japan interest rates are still near 0.

This is likely more a reaction to the global economic situation which is a direct result of sticky inflation.

With the excessive inflation of basic cost of living expenses, you've got to think that all non essential markets are going to feel it.

With that said, I can see the other side of the coin as well. Where you could make a case that these cuts are unnecessary at Sony because the profit loss they had was largely driven by a lack of first-party releases during the quarter. It creates that weird situation where overall numbers for the gaming industry remain quite good, but the chase for profits puts thousands out of work. Hopefully these folks keep on keeping on and find their way to up and coming studios.

 

[Luipadre]

AAA gaming everyone. Meanwhile AA games at 30, 40 dollar price are thriving on steam. The more money these companies want, the worst games they will make, designed to nickel and dime you at every corner. Fuck that feature.

 

[BennyBlanco]

I think PSVR2 flopping is gonna have a ripple effect where they reallocate those resourced to mobile games and PC ports that are more lucrative endeavors

 

[Elysium44]

It's expensive to employ people in the UK relative to the talent that's still there.

Is that right?

 

[DonkeyPunchJr]

The industry got too big it's boots during covid. They thought and hoped the boom period they enjoyed while everyone was forced indoors would stick.

They set unsustainable targets, overhired, over-aquired and overleveraged and this is the result.

Tech industry as a whole just over hired like crazy during the pandemic. So many people decided to go job hopping, and employers snatched up every employee they could just because everyone else was doing it.

Kinda like the same thing that happened with toilet paper.

 

[Punished Miku]

"Sometimes, a project is started with the best intentions before shifts within the market or industry result in a change of plan."

I sure wonder what this is referring to.

 

[Elysium44]

Looks like PSVR is getting kinected out the door.

Good.

 

[LordCBH]

Jesus 2024 is such a fucking clown show

 

[DonkeyPunchJr]

I think PSVR2 flopping is gonna have a ripple effect where they reallocate those resourced to mobile games and PC ports that are more lucrative endeavors

But SonyGAF assured me that, based on the first 2 weeks of sales data (after which Sony was suspiciously silent), PSVR2 would be a huge hit and greatly outsell the original.

Oh well, I bet PSVR3 is when VR will really take off.

 

[LordCBH]

It's not even just games. Tech industry as a whole is getting hit again this year with layoffs.

The tech job market is fucked as well in the uk atleast.

It’s going to get a lot worse as this year goes on.

 

[hemo memo]

It affected them negatively in terms of meeting demand (because of the logistics shutdown and subsequent lag after restarting) and production. Two different things.

Don't get it twisted, they weren't moaning about everything.

Yeah yeah people were dying but damn it we can’t sell more PS5 oh no. Also we know this covid situation will end but let’s get bigger anyways. Brilliant management. Jim Ryan should write a book to educate the industry and business schools everywhere.

 

[Magic Carpet]

Put Resident Evil Village VR on PC please. No more of this VR exclusive BS.

 

[Killjoy-NL]

"We looked at our studios and our portfolio, evaluating projects in various stages of development, and have decided that some of those projects will not move forward. "

Massacre. Studio closed, games canceled, and layoffs.

Meanwhile Insomniac out there selling DLC for charity.

You want prices to go up more?

OT:

The world-economy is shit.
No idea why some act like all these lay-offs are exclusive to the gaming industry.