Sony: Layoffs Not Directly Linked to PS3

In a statement to Next-Gen, Sony Computer Entertainment America has denied that the layoffs reported today are directly linked with trailing PlayStation 3 sales.

"This move is not wholly related to any one product in our portfolio," said SCEA PR boss Dave Karraker when asked if the layoffs were directly linked to PS3 sales. "More accurately, it is reflective of shifts in the marketplace and in consumers' wants and needs, such as the rise of digital content delivery and networked services. In order to maintain our market leadership, the management of SCEA has found it necessary to analyze the business and restructure the company as necessary."

SCEA laid off 80 to 100 workers on June 5th, mainly at its headquarters in Foster City, Calif. Karraker declined to offer details surrounding the specifics of how the employees were informed.

SCE Europe announced earlier this year that it was looking into layoffs to "streamline" operations.

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nice_cuppa4740d ago

if Sony are forced to cut the price this year you can expect more of this.

TheMART4740d ago

And even if it is, Sony will deny it.

I bet it has to do with low sales of the PS3 for sure.
No one had expected it to sell this bad, Sony first wanted to sell 6 million of them by the end of March, they just sold over 3 million.

Must hurt, and hurts them in the wallet. If they don't cut jobs they have a financial problem

Babylonian4740d ago (Edited 4740d ago )

I didn't know you worked at Sony? Could you tell me if there is a new PSP redesign coming? I'm just dying to find out cause I want one, but waiting if there is a redesign. And is MGS4 an exlusive or not, or is Konami not willing to tell that to your organization?

fenderputty4740d ago (Edited 4739d ago )

I think of 1000's of people. I don't think 80 people. They're not recouping losses from such a minimal amount of people being laid off. Nice try though.

Seriously people ... think general motors. We're not talking small time companies here.

FadedDRFT4740d ago

Alot of xbots in here, Who cares what you think, I really dont. haha, OH yerrr any ps3 owners in here, JUNE 11th is going to be big haha i cant wait

Firewire4740d ago (Edited 4740d ago )

And a 8 year old xbot,is now an authority on Sony. Yeah right!
Go get your mommy to change your diapers, your stinking up the place!
xbot turds not wanted, go away!

+ Show (1) more replyLast reply 4740d ago
skynidas4740d ago

linked to the ps3 and there wont be a ps3 price cut im sure i dont work at sony but it doesnt make sense if they do a price cut they are already losing a lot of money with every ps3 that they are selling

nobizlikesnowbiz4740d ago

price cut = kick in the pants to an already sore system

calderra4740d ago

"This move is not wholly related to any one product in our portfolio,”
-He's exactly right. The movie division and PS2 are no longer offsetting PS3's losses. So it's not just about PS3.

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