The Andrew Wilson-led company continues to downsize, even though it did so just a month ago. Electronic Arts…

A few days ago, EA announced that it was shutting down Cliffhanger Games. Today’s news said that, although this meant canceling the Black Panther game, EA’s deal with Disney (Marvel) would still be for three games. Cliffhanger was founded by Kevin Stephens, who was previously one of the lead developers on Middle-earth: Shadow of Mordor. Additionally, a tweet from the Spanish insider eXtas1s has added a new twist to the story.

eXtas1s reported that Electronic Arts is planning to lay off another 400 people. Codemasters will be most affected. The publisher wants to close the company’s headquarters, which it took over four years ago. This would essentially mean the end of Codemasters. Electronic Arts plans to integrate the affected developers into EA Sports for further development of F1 game adaptations and redirect them to the development of the new Need for Speed game.

👀🔥 EXCLUSIVA a propósito de lo de EA ❌️

La cancelacion de Black Panther NO será lo único.

He podido conocer que se aproximan unos 400 despidos más en EA, CIERRE total de la sede principal de Codemasters y que esos devs se integrarán en EA Sp (F1) y en un nuevo Need For… pic.twitter.com/wIYzGpSjWf

— eXtas1s 🎮 Noticias & Rumores (@eXtas1stv) May 28, 2025

If true, this would be another major blow to the gaming industry, which has suffered a number of closures and rounds of layoffs in the first half of 2025 after a difficult few years. Electronic Arts bought Codemasters from Take-Two, by the way. Take-Two offered nearly a billion dollars, but Electronic Arts closed the deal at 1.2 billion dollars. Following the acquisition, Codemasters CEO Frank Sagnier stated that Electronic Arts was a perfect fit for the company. However, Codemasters has undergone significant reorganization over the past four years under its new owner.

Three years ago, the Cheshire-based team merged with Criterion to work on Need for Speed. At the end of 2023, Electronic Arts cut the developer headcount for the first time, and a few weeks ago, it was announced that EA would drop the WRC license that Codemasters had acquired after one game (returning the rights to Nacon). Only F1 will remain under the Codemasters name.

Source: WCCFTech