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Evolution Studios, Guerrilla Cambridge & SCE London Studio hit by layoffs

Multiple Sony studios have been hit by layoffs this morning, SCEE has confirmed to VideoGamer.com.

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ArchangelMike3764d ago (Edited 3764d ago )

Man, now I getting worried. I know it's not unusual for studios to close, or people to be laid-off. But recently it seems to all be happening at the same time for Sony devs.

NewMonday3764d ago

someone at Sony is going postal on 1st party studios

Ninjatogo3764d ago

Maybe it's part of their company wide restructuring effort?

abzdine3764d ago (Edited 3764d ago )

i think they better restructure their company to get most out of it.
Let's see the outcome of it but PlayStation division is aware that they have good products they have to focus on.

Maybe also that PS4 developing times are way shorter that all the extra ressources from the PS2/PS3 aren't needed anymore.
cutting ressources will optimize costs and also optimise the development times cause i know that the fewer and competent the better to control the project.

GarrusVakarian3764d ago (Edited 3764d ago )

We all know Sony are having financial issues, this is called restructuring, companies do this all the time when things aren't going as well as they wish financially. Better to do it now at the start of the gen rather than wait until projects are well under way or things are in motion. If they didn't bother doing any of this then things would only get worse, they have to "trim the fat".

http://en.wikipedia.org/wik...

Sucks for all those people who have been laid off, i hope they find new work quickly.

Edit: Don't mistake my comment for damage controlling, Sony DO have financial problems, there's no denying that. But this *is* common practice for businesses and companies that are having financial issues.

abzdine3764d ago (Edited 3764d ago )

@Lukas_Japonicus:
not only for businesses with financial issues but mostly for all businesses who want to optimize output. It seems like Sony is doing it for cutting fat as you call it as well but the main reason is optimize and better control their projects.

the reason why i say this is that PS financial situation has been at its lowest a few years ago when PS3 underperformed but they still kept the extra fat cause development times were way longer than they claim they are now with PS4

Dark113764d ago

Like i said in the past something is going on with sony first party studios .. but fanboys here vote down me for trolling

I wonder who is next ND?

Evilsnuggle3764d ago (Edited 3764d ago )

abzdine
I agree with you 100% but most gamers don't understand the business. 15 year ago Apple was on the verge of bankruptcies. They did the same thing that Sony is doing now. Apple Did a major restructuring Closing office stop losing money on unsuccessful products and services to help put money for better use just like Sony. First thing Apple did is kill the Newton a product that that apple spent 100 million dollars on in 1993. Company sometime make difficult decision to get back on track. Buy cut costly projects you can invest in better product. They Apple released the iMac it becomes a huge success. The PS4 is also a huge success for Sony like the iMac was for Apple. Sony is taking saving from restructuring and invest it in profitable profitable Products like PS4 , Xperia phones and Sony movie pictures.
Apple was almost bankrupt now it the most profitable Company in the USA.

Death
I never agree with Death but this time he is a 100% right. Sony is a 72 billion Corporation No were near Bankruptcy . They are restructuring to Make greater profits and avoid bankruptcy the same with Nintendo . I read That Nintendo don't need to make a profit until 2025 before they are in danger of bankruptcies.

GameNameFame3764d ago

This doesn't tell us much... Sony is in financial problem.

But this really don't tell you much about what Sony's doing with first party. There were steady report of hiring. GE tends to do this "trim the fat" where they lay people off so they have room to hire more qualified.

DOMination-3763d ago

Also rumours of Corrine Yu leaving ND a few days ago after only a month or two there. Something big is going down at Sony.

+ Show (5) more repliesLast reply 3763d ago
NYC_Gamer3764d ago (Edited 3764d ago )

Sony are just cutting down the fat and trying to save money at all cost..It's messed up that people have to lose their jobs in the whole process though.

Bennibop3764d ago

Perhaps PS4 development is not as labour intensive as PS3 development??

Concertoine3764d ago

@bennibop
They said before its about the same as ps3. Which is a both a testimony to how laborious it was to develop on ps3 and how easy it is to develop on ps4.

abzdine3764d ago (Edited 3764d ago )

@Concertoine: source?
cause i've heard the exact opposite

IRetrouk3764d ago

@ con

cerney already stated that development time is back down to ps1 dev times.

+ Show (1) more replyLast reply 3764d ago
Hatsune-Miku3764d ago (Edited 3764d ago )

Well sony as a whole is in a state of consolidation and are getting rid of unnecessary spending and bloat. Simple economics really. That's why top bosses and certain top guys at sony are gone because they can be replaced with people that cost less for sony to pay.

marloc_x3764d ago Show
lelo3764d ago (Edited 3764d ago )

It's not looking good. Why the hell did Sony purchase so many first party studios, just so they lay off so many workers afterwords.

If I worked for Sony at this moment, I would be apprehensive about losing my job. Best of luck for those without a job.

andibandit3764d ago

So people could rave on about how many studios they have here on N4G

arkard3764d ago

We don't know how many workers, so don't act like 50% off the work force is now gone.

hollabox3764d ago

I thought Sony said the PlayStation division wouldn't be affected by layoffs? Maybe that billion dollar lost is hurting Sony more than they led on. Or Sony simply hired too many people to launch the PS4 in over 50 markets in just couple of months.

Death3764d ago

These are sacrificial layoffs in anticipation of the investor meeting next week. Sony's fiscal year ends this week and they are projected to lose over a billion dollars. It's the 5th loss in the past 6 years for Sony. Last year they sold their HQ's to show a small profit to investors. Their movie division is seeing layoffs and closures this week also.

Sony isn't going bankrupt. They are restructuring/downsizing so they do not go bankrupt. It's Kazuo Hirai's second full year as President and CEO of Sony. He has a lot of explaining to do to the board and most likely we will see more cuts in the coming months. It will be good for the long term health of Sony, but the short term will suffer.

As gamers the best thing to do to help Sony is to go buy more new software.

Edsword3764d ago

Restructering is a necessary evil. Will this affect current projects? Maybe, but who knows, they could have been over staffed. It could have been admin people.

TruthInsider 3764d ago

Why are they wasting money on VR insead of just adding Oculus Rift support when they are having to lay people off?

Now any benefits to making games quicker are gone if the workforce is shrinking.

kenshiro1003764d ago (Edited 3764d ago )

I hope these people are able to find jobs. These are hard times we're living in.

I suspect this is part of Sony's restructuring process. Doesn't mean that they're 'doomed' and people need to freak out.

Ausbo3764d ago

This is so unfortunate. Hope these guys find jobs. This is all suprising

Patrick_pk443764d ago

I find that the restructuring and the lay offs are a magnificent decision. Sony has been overspending on development and employees, while smaller studios can pull of the same amount of effort and work. Smaller studio = less money spent and more focus on the video game being developed.

gameon19853764d ago

So people losing their jobs is magnificent to you? That's sad that you are happy to see people lose their income because it will help a billion dollar company.Their is jack shit magnificent about this. call it what it is which is fucked up. I normally call people brain washed jokingly, but given your comment I really believe Sony has you brain washed. How the hell would you fill if you told someone your are losing your job because of restructuring, and thier responds is oh that's a magnificent decision; they can just hire someone else and pay them less then they were paying you?

kenshiro1003764d ago (Edited 3764d ago )

gameon, not ONCE did he imply that people losing jobs is a good thing. He said that Sony has been overspending as of late so its a good thing they're looking into spending LESS money so that they can be profitable in the future when it comes to developing games.

No need to spend money you don't have.

You need to read between the lines next time.