According to Axios, changes in Sony’s business operations have reportedly led to the closure of these PlayStation divisions.

Just a month ago, Sony celebrated a record year thanks to games, subscriptions and the PlayStation 5, which sold more than 17 million units. The video games and services business generated revenues of $24.87 billion, up 8.9% from a year earlier, yet the company has reportedly cut more than 90 jobs in its US offices.

Axios shared this information after speaking with one of the affected employees who have access to documents related to the layoffs. As Stephen Totilo points out…

…the company is also reportedly laying off its US sales team, including PlayStation representatives who frequently visited retail stores.

The layoffs are also reportedly affecting retail marketing positions. Axios reported that they had not received a response from Sony, although these changes would follow a restructuring of the company’s sales and marketing operations. These moves within the company suggest that the company is shifting towards direct-to-consumer marketing, with less emphasis on physical game sales in retail stores.

This shift would follow the consumer trend towards digital sales in a market where 90% of games are already sold exclusively in digital format. In the services market, PlayStation is also strengthening its direct-to-consumer offering with its new subscription service, PS Plus Extra and Premium.

Source: Axios