A well-known gaming company based in Silicon Valley is letting go of hundreds of employees and closing down its notable studio, BioWare, as stated in an employee memo that was shared on Wednesday.
Electronic Arts (EA) is undergoing a restructuring and is planning to reduce its global workforce by 3%, which translates to around 400 jobs, as reported by Variety.
The closure of BioWare marks the end of its 31-year history, during which it created popular game franchises such as “Mass Effect” and “Dragon Age.” In a social media announcement, the studio confirmed its intention to prioritize staff transition while ceasing development on the upcoming “Mass Effect” project.
In their memo, Cam Weber, EA’s president and chief studios officer, along with David Tinson, president and COO, explained that the company has been critically evaluating its operations and strategizing on how to thrive in the evolving landscape of interactive entertainment.
“We’ve challenged assumptions, confronted hard realities, imagined new possibilities, and made deliberate choices in order to deliver exceptional experiences for our players and to drive sustained growth,” they added.
EA has established itself as a giant in the gaming industry, with well-known franchises including “Battlefield,” “The Sims,” and “Madden NFL.” Recently, it completed a significant buyout deal valued at $55 billion, which involved private equity firms and investment entities.
The executives emphasized three main priorities moving forward: enhancing their core gaming offerings, broadening reach, and transforming their business model.
They concluded the memo on a hopeful note, expressing confidence in EA’s potential for the future, stating they have talented personnel, beloved franchises, and untapped opportunities to create new gaming experiences.
In a separate but related note, eBay is also planning to lay off about 1,000 employees, which represents approximately 9% of its workforce, according to a memo from CEO Jamie Iannone.
Iannone indicated the company’s strategy is effective, but emphasized that pursuing future opportunities requires careful decision-making regarding focus and investment.
Based in San Jose, California, eBay had around 12,300 employees at the end of the previous year. This will be their second round of layoffs this year, following a previous reduction affecting around 800 jobs in February as part of their operational streamlining efforts.
