But sometimes these big companies can really exaggerate, and sometimes they are out of touch with the real world… There have been several examples of this recently.

Slightly off topic, but it fits with what the CEO of Intel said when he put 15,000 people on the street (“chopping wood”). Bungie laid off 220 people at the end of July due to rising development costs, the economy, and the typical explanations. There was a model in the studio that was used as an incubator. Because of this, there was an excessive division of developers within Bungie, and so it had to be reorganized to focus on Destiny and the marathon reboot, regardless of how Destiny 2: The Final Shape performed…

In the Sony Group’s quarterly report, Hiroki Totoki, Chief Financial Officer and Chief Operating Officer of the Sony Group, as well as Chairman of Sony Interactive Entertainment, used some pretty typical buzzwords to explain why Bungie had to cut its headcount: “The purpose of this restructuring is cost, structure and portfolio optimization. Those are the goals. And at the same time we need to improve the efficiency of the business. There will be some reallocation of resources. We want to optimize our overall studio structure, that’s all, thank you.

Although Hiroki’s comment was translated from Japanese into English by an interpreter, it was certainly just as dry and inhuman in the original language. The same terse justification was given by Microsoft when they closed down Arkane Austin and Tango Gameworks. The larger companies simply do not have the will to answer questions openly and honestly, and that is more frustrating than annoying.

So often we hear the terms “economic conditions,” “streamlining,” “optimization,” and “flexibility” in the context of downsizing. In 2023 and already, all of these terms have been bandied about a lot, and it will continue in 2024. And who knows when it will end. In any case, be prepared for these reasons to continue to be thrown around every week when people are laid off.

Source: PCGamer, Irwebmeeting