Fortnite developer Epic Games is set to lay off approximately 900 employees, which accounts for 16 percent of its workforce. The layoffs come as the company plans to divest from Bandcamp, an independent music storefront it recently acquired, and spin off SuperAwesome, a company specializing in safe online experiences for kids. In a statement, Epic’s CEO Tim Sweeney acknowledged the layoffs, attributing them to the company’s excessive spending. The decision has disrupted the lives of many employees, with Sweeney admitting that his initial optimism about avoiding layoffs was unrealistic.

Rumors of upcoming layoffs at Epic Games had been circulating, with speculations suggesting that reducing expenses might make it easier for the company to secure investments. As a result, the video game job market is expected to become significantly more competitive following Epic’s mass layoff of 900 employees. The move reflects the challenges faced by the industry as companies seek to balance their financial stability while maintaining growth and innovation.

The decision to lay off such a large number of employees has raised concerns about job security in the gaming industry. Epic Games, known for its globally popular game Fortnite, had been a major player in the market, but the layoffs may signal a shift in priorities as the company aims to streamline its operations and focus on core areas. The impact of the layoffs on the affected employees and the overall industry remains to be seen, but it highlights the volatile nature of the gaming sector and the need for companies to adapt to changing market conditions.

Source link