US-based creative services also affected, employee notice given on same day as PS5 details announcement.
Sony went through the same exact thing during the PS3's time. Cutting the fat and downsizing for better games and efficiency. This looks like the same concept. With emphasis on cloud tech, game streaming especially that PSNOW being a huge part of Sony's plans.
That is fair, but this news also comes on the heels of Shawn Layden stepping away from the company unexpectedly it does raise a few eye brows and hints there may be more to the story than simple trimming the fat.
Still called restructuring, people leave and be replaced just like any other job. Theres always gonna be changes and people always gonna blow things outta proportion.
All of those affected will likely find other places to work. It just sucks to hear when this sort of thing happens.
I can't care less.. All companies are doing this. What does it have to do with gaming??!
Mike Ybarra just left Microsoft, it happens in big business. I doubt this is anything but restructuring and annual trimming for next gen. Jim Ryan ran SIE Europe for years, i'm sure he knows whether or not there is redundancy and a need for cleanup at the European arm of PlayStation.
The original report said nothing of people being laid off, only that there was restructuring and many people would have to re-interview for their new positions.
"Cutting the fat and downsizing for better games and efficiency." Not really sure what better games would have to do with this, since Sony's developer houses are not being hit with layoffs. It does sound like downsizing though as SIEA plans to more than likely take over all of the decisions that relate to Playstation. Most of the times there are jobs that overlap one another and someone has to go. Good luck to these people and hopefully they find something soon. "Some employees reportedly feel this is a sign of the growing influence of SIE America and the reduced influence of the EU side, with American executives coming to the EU to make the announcement and EU employees not being informed of the Wired article reveals at all." Definitely sounds like a sign of SIEA influence. Hopefully after all is said and done there will be more transparency between both companies across the pond from each other.
It s the shareholders, no one is looking at it properly, the PS4, is the most dominant console this generation, it's had most of the 3rd part games DLC and marketing locked in, DLC would appear 3-6 on other platforms console and PC. These options ate not cheap, there was a time when game developers market there own games, when Sony started paying to bring games to the PS1 it all changed, developers/ publishers realized that companies would pay them to keep games and there content away from there rivals (goodbye SEGA), Jump forward to this gen, 100 mil ps4 sold worldwide, excellent work team we crushed MS/Xbox , so let's see how much profit we made, hold on, wait why is our profit margin only 2.5 Billion more than Xbox, wait we sold double and had all the important games from 3rd parties, so why don't we have more income, let's look at how we were spending, hold on we made money on 3rd part sales and we made 100% profit on first party ones too, this make no sense, this is how shareholder think, for them its the profit, you can't show the world you have the market share and no income to show for it, GOW reboot, days gone, GT. How many GOW games have been released this gen when compared to Gears, 2 gears games were released three yrs apart in Development to, TLOU came out in the last gen and now the sequel is coming out at the end of this gen, GT only one showing this gen, Forza made it appearance 2-3 times this gen, I fully understand that time taken to develop a game is needed, GOW V Gears 5, gears 5 took 3yrs GOW took double that time. Even Shawn Layden said it, next gen games won't be there big blockbusters and won't be making as many, PlayStation has wasted so much money on blocking content from there competitors to gain a upper hand in the market space, all these lay off are due to miss spending, I listen to all these podcasters this game sold numbers and that number but at the end of the day if you are using that money in the wrong way shareholders are going to ask for heads on the chopping block, MY HEART GOES OUT TO ALL THOSE PEOPLE WHO HAVE LOST THEIR JOBS. I WISH YOU ALL THE SUCCESS FOR YOUR FUTURE. It's sad 😢 but shareholder only care about their investments bottom line. Forget MARKETING DEALS and DLC let the publishers publish there games and let the gamers choose the platform they want and let your first party game developers do what they want, anyway I'm just pointing reasons for lay off and what might have been the cost of people's income.
Has nothing to do with better games.
Jim Ryan ran SIE Europe, i trust he knows the branch.
So people are considered as “fat” now. Interesting...
No, but branches, divisions, and positions are. Hence why those people are also having interviews schedules to either re-apply for a similar position or a new one within the company.
PS4 is a shadow of PS3 in games and exclusives, but hey, if you want less games good for you, I want more games.
You’re out of your freaking mind. The PS4 delivered as many games as the PS3, if not more.
@trooper_ Say no to drugs! PS3 250+ titles vs PS4 130+ titles https://en.wikipedia.org/wi...
@Immortus_san PS4 https://en.m.wikipedia.org/... "There are currently 2287 games on this list." PS3 https://en.m.wikipedia.org/... "There are currently 1441[a] games on this list." https://en.m.wikipedia.org/... "There are currently 762[a] games on this list." 2303 games I don't think that falls under a shadow of its former self considering it's got a year left before the start of the next generation, let alone cross-gen games.
Good luck to everyone who lost their jobs.
Its crazy you got downvotes smh.
Welcome to N4g.."Negativity 4 Gamers"
I'm guessing lately a lot of first party development work hasn't been coming out of Europe lately except GG maybe that's why they're downsizing.
i don't see this as news anymore - it's common knowledge that sony has been reorganizing - and that, unfortunately, involves some job loss.
Jim Ryan ran SIE Europe, he now runs SIE as a whole, so he probably knows the European arm inside and out and where there is redundancy and need for trimming. Loss of jobs is unfortunate, but Sony did acquire Insomniac and they are 100% dedicated to grow the brand. They are doing what they feel is necessary to have the best and most efficient company. PlayStation is Sony's golden goose, they are making decisions to strengthen the brand for the long-run. I wouldn't worry.
Has anyone over 35 ever worked for a company where this happened? I rest my case.
Once at a lumber mill i worked at. First they made us agree to pay cuts, then the ceo left for a rival mill, then one day on our break a bunch of suits walked in and said “as of right now, we’re shut down. you will get one week severance for every year you’ve worked” and that was that. Really shitty. Especially since i was back 2 weeks from my honeymoon and it was 3 weeks till christmas (and in january it woulda been an extra week of severance)
Damn that's messed up
What? I'm confused. Is it your case that this isn't something new? Because definitely happened a ton since the depression.
I don't actually have an opinion about the conspiracy theroies, I mean - I feel for anyone that loses their job as I'm sure a lot of these people will have family to support at home, but equally I understand that sometimes a company does have to streamline and consolidate in order to secure its long term future. I do think that a lot of these rumours get blown out of all proportion in both console camps, but sometimes I think outlets try to capitalise on the next big thing ( In this case PS5 and Scarlett ) by making mountains out of molehills. Slightly off topic, One thing I have realised today though is that the "Youtuber" Foxy Games UK (previously PlayStation News Now before he was embaressed by Rags) literally gets all his "inside information" that he claims comes from "Sony Insiders" from this very website. I watched his video published earlier this evening after visitng N4G today and he literally quoted every single article of any relevence in the top slots word for word. To double check I cross referenced some of his older videos with articles published to N4G on the same day and low and behold these were the same including a quote from an article that I wrote for a website that literally only published on N4G.
Not particularly surprising, since most of the articles we see on here from journalists come from Reddit anyways. Even all the concern comes out after i've seen people saying it on various forums, and it's a pretty sure thing that if you see a line of "concern" going down on here one day, there will be an article about it tomorrow.
That's a great point !
I got a feeling Sony will look very different with Jim Ryan as the new leader of Sony next gen. He will put ps now services as top priority imo instead of staying traditional to really compete with Xcloud and not miss out on the 2 billion cloud market. The issue with Sony following Microsoft to profit off the 2billion cloud market is relying on Azure servers which will cut into their revenue next gen that can harm them long term.
As opposed to Sony using Amazon or Google? Sony has to use somebody. PSNow has never been hosted by Sony data centers but a hodgepodge of different providers depending on the region it was serving. In fact most of Sony's services are hosted in third-party data centers, like AWS. So, they are always paying some. If Sony wanted to keep up and do it themselves (to support PSNow and other services) they would need to build data centers, lots and lots of data centers and that would would cost them more then they take in for this whole gen (and that is just to get started). Sony more than likely took a look at AWS and Google Cloud along with Azure. They realized Azure was the best fit for what they need. And lets not forget Google is gaming competitor now. AWS is certainly eyeing gaming and they are a competitor with Sony on streaming (video/audio) and media creation (film/TV) as well. Microsoft Azure data centers actually supports more regions than AWS and over twice the regions as Google cloud services. Microsoft spends over $13 billion a year on building out data centers. Not in one year but that is what they have spent on average for the past 7 years (each and every year).
Jim Ryan turned Europe into Sony-land. He did a phenomenal job of turning turning Europe into PlayStation's largest market by a mile and dominating the region over every other console brand. He earned his current job because he's incredibly good at what he does. I'm confident in his ability to grow the brand.
He did have a bad habit of trying to comment on issues without having all the information though. Hopefully, now that he's at the top he'll actually have the information to make said comments now but man, he did drop the occasional PR grenade at his own feet.
Then I suspect that they will probably see a drop in revenues if they don't keep catering to their consumer base.
So you're saying that Jim Ryan is going to utterly derail everything they've had planned for the PS5 a year before launch to focus mostly on services that even Layden said they were needing to push a bit more? I mean, you do realize Ryan's been running SIE since February of this year, right? Months before even the initial PS5 reveal? And as for services, I'd have worried more about that from Kodera than Ryan. That was literally his department, after all. His entire background was on the PSN/Services end.
The ps5 will be Sony’s last independently built hardware. If you know you know
Probably cos they're gonna see a massive loss when ps5 launches so they're cutting costs elsewhere.
This is pretty normal.. new CEO equals restructuring equals lay offs..
Slow news day...
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