Storm warning for the video game sector

2023-10-09 17:46:06

By Chloé Woitier

Published 1 hour ago, Updated 1 hour ago

The Fortnite game from Epic Games. The American group announced the layoff of 16% of its workforce. Epic Games

ANALYSE – Layoffs and studio closures are increasing for an industry forced to tighten its belt.

830 jobs cut at the creator of the hit game Fortnite. The announcement, on September 28, of the layoff of 16% of the payroll at the American group Epic Games is the culmination of a series of bad news in the video game sector. The same day, Sega announced the termination of several projects in Europe, including the ambitious online game Hyenas, which had been in the works for five years. The Swedish group Embracer, which has voraciously bought dozens of gaming companies over the past three years, has announced a major restructuring plan which has so far resulted in the closure of several studios. Among them, Volition Games, creator of the Saints Row saga.

This non-exhaustive inventory may seem incongruous when sales of consoles and video games remain at a high level. “ But a growing market can hide a very different reality within the industry. We can fear damage to the most fragile companies in…

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