• Hey, guest user. Hope you're enjoying NeoGAF! Have you considered registering for an account? Come join us and add your take to the daily discourse.

Rumor: EA to layoff 500-1000 people [EA: We're hiring 100's, headcount up this year]

What were the sales numbers like for SSX? That thread seemed to die off pretty quickly. Usually not a good sign for any major games performance.
 
D

Deleted member 17706

Unconfirmed Member
Is the decline of Knights of the Old Republic due to the decline of the monthly fee MMO business model, or is it just a shit game?

There is no decline in the monthly fee MMO business model. There's just been an increase in the F2P market. There's still a sizable amount of people willing to pay a monthly fee for a good MMORPG.

In my opinion, SWTOR was a shitty game. It tried to be both a single player RPG while hamfisting in MMORPG elements that made it a very bad game in both areas. Oh sure, it's polished and has plenty of production values, but it's not much fun to play. It plays it safe in all areas and takes no risks or attempt to advance or improve upon the MMORPG genre. It's just boring.
 

Card Boy

Banned
I don't like this company at all, they control too much and have their grubby hands where they don't belong. Hopefully the innocent bystanders manage to land on their feet.
 

mclaren777

Member
I still don't understand why EA isn't doing better financially.

I think it's been the best publisher of this console generation but it doesn't seem to be reaping the rewards of its stellar software lineup.
 

subversus

I've done nothing with my life except eat and fap
my prediction

1)Ricitiello resigns in two years
2)a new CEO guts a handful of AAA projects.
3)EA focuses on its core licensed and non-licensed properties like FIFA, Battlefield and so on.
4)the ship will continue sinking
 

Quasar

Member
In my opinion, SWTOR was a shitty game. It tried to be both a single player RPG while hamfisting in MMORPG elements that made it a very bad game in both areas. Oh sure, it's polished and has plenty of production values, but it's not much fun to play. It plays it safe in all areas and takes no risks or attempt to advance or improve upon the MMORPG genre. It's just boring.

I'll admit I never even tried it because it looked like a bog standard dikumud game with a star Wars skin mashed up with standard Bioware single player. I wanted something different mechanically.
 

Lingitiz

Member
EA's games of the past few years have actually gotten better, but they push so many anti consumer practices its insane. The push for preorder bonuses, day 1 DLC, and generally not giving developers enough time is ridiculous. Also, Origin is utter horseshit. Hopefully those who lose their jobs will move onto greener pastures.
 
At what point do we accept the fact that the industry, at least as is, is dying? Someone post that list of studios that have closed this generation so I can let the full on depression set in.
 

Card Boy

Banned
At what point do we accept the fact that the industry, at least as is, is dying? Someone post that list of studioes that have closed this generation so I can let the full on depression set in.

I see no evidence of it dying. I just see alot of companies heading in the wrong direction.
 

neorej

ERMYGERD!
At what point do we accept the fact that the industry, at least as is, is dying? Someone post that list of studios that have closed this generation so I can let the full on depression set in.

Because a company is laying off workers, the industry is dying? By that standard, every industry is dying. These things happen during the economical times we are in right now.
 

madmackem

Member
It really feels like we are on the verge of a full blow out here, and people are calling for new consoles now i doubt these companies are looking forward to the next gen just yet with so many letting go of staff.
 

subversus

I've done nothing with my life except eat and fap
At what point do we accept the fact that the industry, at least as is, is dying? Someone post that list of studios that have closed this generation so I can let the full on depression set in.

the industry isn't dying, but the studios which are focused on AAA console projects certainly do.

but it's only a niche.
 
Because a company is laying off workers, the industry is dying? By that standard, every industry is dying. These things happen during the economical times we are in right now.

I see no evidence of it dying. I just see alot of companies heading in the wrong direction.

Just seems like every week there are layoffs or closings. This is what I was refering to:

UPDATE - March 1st

Artech Studios - 2011
Dark Energy Digital - 2012
Hudson Soft - 2012
Reakktor Media - 2012
Ubisoft Vancouver - 2012



In the THQ thread, someone asked for the complete list of studios closed since the start of the generation. Mario (from Sidhe) answered with a partial list, since it didn't include 2011 (and 2012). Using his list as a starting point (thanks), I took some time to add many missing studios. I won't pretend it's an exhaustive list yet, but with your help we can reach that goal.

I decided to start in 2006, but some may argue that it's too early since the generation started in November 2005. When possible, I added the year every studio was closed and a link confirming the news. If you want to add a studio missing from the list, providing a link and the year of death would be appreciated. Gamasutra was my main source, because they were around in 2006 and they are reliable and credible.

Note: some studios were merged over the year, and I didn't include them. For example, The Collective and Shiny Entertainment became Double Helix in 2008. Another one: SouthPeak bought Gamecock. Recently, Artoon, Cavia and Feel Plus were absorbed into AQ Interactive. I guess we could argue in this thread whether or not these studios deserve to be in this list or not.

One last point: yes, this list is depressing, but I'm pretty sure the list of studios created from 2006-2012 is much longer than the one below.

3D Realms - 2009
7 Studios (Activision) - 2011
ACES Studio (Microsoft) - 2009
Action Forms - 2009
Ascaron - 2009
Atomic Elbow - 2008
Backbone Vancouver
Beam Software/Melbourne House - 2010
BigBig (Sony) - 2012
Bizarre Creations (Activision) - 2010/2011
Black Rock (Disney) - 2011
Blue Fang Games - 2011
Blue Tongue (THQ) - 2011
BottleRocket - 2009
Brash Entertainment - 2008
Budcat (Activision) - 2010
Carbonated Games - 2008
Castaway Entertainment - 2008
Cheyenne Mountain - 2010
Cing - 2010
Clover Studios (Capcom) - 2006
Codemasters Guildford - 2011
Cohort Studios - 2011
Concrete Games - 2008
Deep Silver Vienna - 2010
DICE Canada - 2006
Digital Anvil - 2006
EA Chicago - 2007
EA Bright Light - 2011/2012
EA Japan - 2007
Eidos Manchester - 2009
Eidos Hungary - 2010
Empire Interactive - 2009
Ensemble Studios (Microsoft) - 2008
Factor 5 - 2009
FASA (Microsoft) - 2007
Fizz Factor - 2009
Flagship Studios - 2008
Flight Plan - 2010
Frozen North Productions
FuzzyEyes - 2009
Gaia
Gamelab - 2009
Game Republic - 2011
GRIN - 2009
Groove Games - 2010
Helixe (THQ) - 2008
Hudson Entertainment - 2011
Humannature Studio (Nexon Vancouver) - 2009
Ignition London - 2010
Ignition Florida - 2010
Incognito Entertainment (Sony) - 2009
Indie Built (Take-Two) - 2006
Iron Lore - 2008
Juice Games (THQ) - 2011
Kaos Studios (THQ) - 2011
Killaware - 2011
Killspace Entertainment - 2011
KMM Brisbane - 2011
Krome Studios (might still be operating on skeleton crew) - 2010
Kuju Manila - 2009
Kuju Chemistry - 2009
Kush Games - 2008
Locomotive Games (THQ) - 2010
Loose Cannon Studios - 2010
Luxoflux - 2010
Mass Media (THQ) - 2008
Monte Cristo - 2010
Monumental Games - 2012
Midway Austin - 2009
Midway Newcastle - 2009
MTV Games - 2011
Multiverse - 2012
NetDevil - 2011
Ninja Studio - 2009
Nihon Telenet - 2007
Outerlight - 2010
PAM Development (Take-Two) - 2008
Pandemic Australia (EA) - 2009
Pandemic LA (EA) - 2009
Paradigm Entertainment - 2008
Pi Studios - 2011
Pivotal Games (Take-Two) - 2008
Propaganda Games (Disney) - 2011
Pseudo Interactive - 2008
Rainbow Studios (THQ) - 2011
Razorworks - 2009
Realtime Worlds - 2010
Rebellion Derby - 2010
Red Octane - 2010
Redtribe - 2008
Rockstar Vienna - 2006
Sandblast Games (THQ) - 2008
SEGA San Francisco - 2010
Sensory Sweep Studios - 2010
Seta - 2008
Shaba Games (Activision) - 2009
SideCar Studios - 2007
Sierra Online - 2008
Snapdragon Games - 2009
SOE Denver - 2011
SOE Seattle - 2011
SOE Tuscon - 2011
Stormfront Studios - 2008
Straylight Studios - 2009
Team Bondi - 2011
The Code Monkeys - 2011
Titan Studios - 2009
THQ Studio Australia - 2009
THQ Digital Warrington - 2009
Transmission Games/IR Gurus - 2009
Ubisoft Brazil - 2010
Underground Development/Z-Axis (Activision) - 2010
Universomo (THQ) - 2009
Venom Games (Take Two) - 2008
Vicarious Visions California - 2007
Visceral Australia (EA) - 2011
Wolfpack Studios - 2006
Yuke’s Company Of America - 2010
Zoe Mode London - 2009
Zoonami - 2011

Thread.

That is a crazy fucking list.

the industry isn't dying, but the studios which are focused on AAA console projects certainly do.

but it's only a niche.

I feel like that is a major part of the problem, these companies seem to bet it all on one game and if that doesn't catch the world on fire, it's layoffs and closures time.
 

Quasar

Member
the industry isn't dying, but the studios which are focused on AAA console projects certainly do.

but it's only a niche.

Yeah. The number of new developers out there in other parts of the industry probably at least balance out the number of console devs who have shut. Gaming is changing...painful so in some cases. The transformation of the PC industry is an example of this.
 

Card Boy

Banned
Just seems like every week there are layoffs or closings. This is what I was refering to:



Thread.

That is a crazy fucking list.

As i said heading in the wrong direction.

All those companies had reasons for closing. Some for making shitty to mediocre games (biggest reason), for signing a contract with the devil, poor management and some for taking risks in the MMO business.
 

Dice

Pokémon Parentage Conspiracy Theorist
Hudson Entertainment - 2011
FDdkB.gif
 

Grymm

Banned
Guys this is obviously because of used game sales and the production costs of HD games and has nothing to do with bad practices and terrible management.
 

AppleMIX

Member
Just seems like every week there are layoffs or closings. This is what I was refering to:



Thread.

That is a crazy fucking list.



I feel like that is a major part of the problem, these companies seem to bet it all on one game and if that doesn't catch the world on fire, it's layoffs and closures time.

I don't really see why that list is shocking. How many studios have opened up since 2006? A ton more.
 

Lancehead

Member
but it is in the current climate with tons of different business models on PCs and mobiles which are more profitable than AAA and have a bigger userbase.

Oh I agree. It was a bit weird because AAA development is focused on mass market but the development itself is niche.
 
As i said heading in the wrong direction.

All those companies had reasons for closing. Some for making shitty to mediocre games (biggest reason), for signing a contract with the devil, poor management and some for taking risks in the MMO business.

The MMO business perplexes the shit out of me. At least the ones that put out $60 games with monthly subscription costs like they stand a chance at being the next WoW. I just don't fucking get it.
 

markot

Banned
The buck stops at the lowest levels possible.

Time for Sara Lee to step down.

Every cat and their dog knows that wow is the first and last great monthly mmo. f2p is the next chapter, and EA was stuck in the past.

Wow was a perfect storm.
 

Desty

Banned
Hasn't EA had layoffs like every year for 4 years? Makes me mad. I am really sorry for all those who may be affected.
 

Kalnos

Banned
There is no decline in the monthly fee MMO business model. There's just been an increase in the F2P market. There's still a sizable amount of people willing to pay a monthly fee for a good MMORPG.

In my opinion, SWTOR was a shitty game. It tried to be both a single player RPG while hamfisting in MMORPG elements that made it a very bad game in both areas. Oh sure, it's polished and has plenty of production values, but it's not much fun to play. It plays it safe in all areas and takes no risks or attempt to advance or improve upon the MMORPG genre. It's just boring.

I agree with this entirely.
 

Card Boy

Banned
The MMO business perplexes the shit out of me. At least the ones that put out $60 games with monthly subscription costs like they stand a chance at being the next WoW. I just don't fucking get it.

Arenanet has proven twice over you don't need subscription fees to have a content rich MMO. I never once bought the excuse 'They do it for server costs and content patches'
 
At what point do we accept the fact that the industry, at least as is, is dying? Someone post that list of studios that have closed this generation so I can let the full on depression set in.

Yeah I think the next gen is going to be very interesting.


Development costs for AAA games are already out of line. I dont think anyone is ready to see there dev costs triple or more for next gen.

Plus I'm not sure next gen consoles would even have large enough audiences to support those kind of games for a few years ether and I don't see sony or MS raising the price of retail games.


Dying is a bit much.... I would say we are nearing a big shift in how publishers spend money.

There will still be a few crazy budget AAA games and there will still be casual games but its the people who make games in the middle who are a bit screwed.
 

eastmen

Banned
The MMO business perplexes the shit out of me. At least the ones that put out $60 games with monthly subscription costs like they stand a chance at being the next WoW. I just don't fucking get it.

There will be another wow . I tend to not understand the Free MMO busniess at all. You get a ton of old or failed games that go F2P and we hear of great player increases in the first few months and then the press releases stop. We don't know if after the intial rush (like a paid mmo launch )the numbers tank.

The problem with SWTOR as a player is that there is crap to do once you hit level 40. They made to much of a theme park with out any sand box. I still pay $10 a month of UO 15 years later because of the sand park.

They need to add more things aside from raiding to the end game for people to stay.
 

Sojgat

Member
So basically this was all going to happen over easter but that would have looked bad, lets push it back a week. Scumbags.
 
The MMO business perplexes the shit out of me. At least the ones that put out $60 games with monthly subscription costs like they stand a chance at being the next WoW. I just don't fucking get it.

SWTOR aside due to strong IP, I think it would be an asinine move to launch a subscription MMO at $60 in this day and age with the WoW entry point being $20 or less (obviously more costs are tacked on when including expansions although you don't need them to start playing, and BC is free for everyone now), but I think companies are forced to do so in attempt to recoup at least some development costs upfront if the game doesn't take off after the initial hype has died down.

That said, I think there could be a huge market for a subscription MMO with WoW or near WoW quality, but at a lower monthly rate - $12-$5. This would attract people who enjoy MMOs, but maybe don't have as much time to play and want to log in only once or twice a week. Comparatively, MMOs are a really cheap form of entertainment at $15 a month when a single movie ticket might cost $10+ (not including refreshments), but I think there's just a stigma associated with having to pay every month to keep on playing. Hell, even at $20 or $25 a month, an MMO would still be a good deal if you put enough time into it.

Because of the sandbox nature and the way the skill training works, I only seriously sit down and play EVE a couple days out of the month (read as: more than an hour or two at a time) and I can still extract some enjoyment out of it. The PLEX system helps though, as the current month I'm on I was wealthy enough to afford with just in-game currency, and I should have enough for another month at the least, unforeseen circumstances notwithstanding.
 

Card Boy

Banned
SWTOR aside due to strong IP, I think it would be an asinine move to launch a subscription MMO at $60 in this day and age with the WoW entry point being $20 or less (obviously more costs are tacked on when including expansions although you don't need them to start playing, and BC is free for everyone now), but I think companies are forced to do so in attempt to recoup at least some development costs upfront if the game doesn't take off after the initial hype has died down.

That said, I think there could be a huge market for a subscription MMO with WoW or near WoW quality, but at a lower monthly rate - $12-$5. This would attract people who enjoy MMOs, but maybe don't have as much time to play and want to log in only once or twice a week. Comparatively, MMOs are a really cheap form of entertainment at $15 a month when a single movie ticket might cost $10+ (not including refreshments), but I think there's just a stigma associated with having to pay every month to keep on playing. Hell, even at $20 or $25 a month, an MMO would still be a good deal if you put enough time into it.

The money ads up and there is no logical reason why a MMO should have a monthly fee in this day and age. We have already established the 'server costs' excuse is BS and that content can be supported through DLC, expansion packs, micro transactions, and/or in game ads.

I have had GW 6 years, in that time it's cost me $60 and I could go back to it whenever I want. What is a P2P MMO going to cost in 6 years? $1400, and that's not including the box.

What pisses me off about EA is they refuse to adapt. They are the type of shitheads they would rather shut down an MMO than try the F2P route.
 

eastmen

Banned
The money ads up and there is no logical reason why a MMO should have a monthly fee in this day and age. We have already established the 'server costs' excuse is BS and that content can be supported through DLC, expansion packs, micro transactions, and/or in game ads.

I have had GW 6 years, in that time it's cost me $60 and I could go back to it whenever I want. What is a P2P MMO going to cost in 6 years? $1400, and that's not including the box.

What pisses me off about EA is they refuse to adapt. They are the type of shitheads they would rather shut down an MMO than try the F2P route.

except guild wars is a shallow experiance .

There is nothing wrong with spending $15 a month if your constantly getting new content. I've been paying for ultima online since its release and its been worth every penny .

In the end looking at F2P games I"d be spending the same $15 or more a month to get all the content anyway
 

Dan

No longer boycotting the Wolfenstein franchise
This was the first generation I cared about EA franchises (Dead Space, Mirror's Edge) since the 16-bit era. I guess it figures that that somehow coincides with significant problems at the company.
 

Kalnos

Banned
except guild wars is a shallow experiance .

What does the bolded even mean?

There is nothing wrong with spending $15 a month if your constantly getting new content. I've been paying for ultima online since its release and its been worth every penny.

You aren't *constantly* getting new content in most MMOs though. In Cataclysm, Blizzard has gone like 5-6 months between their major patches.

In the end looking at F2P games I"d be spending the same $15 or more a month to get all the content anyway

This seems cute, are you trying to say that you have to buy all the content in F2P games? Ever seen F2P games like TF2 where the items are cosmetic? They seem to be doing pretty well to me.

Blizzard makes a ridiculous amount of money off of their micro-transactions, they could easily be free-to-play and still make an insane amount of money. You pay them $25 to run a SQL query that transfers your character to another server, all on top of paying $15 a month to access what's currently 5-6 month old content.
 

99%

Member
except guild wars is a shallow experiance .

There is nothing wrong with spending $15 a month if your constantly getting new content. I've been paying for ultima online since its release and its been worth every penny .

In the end looking at F2P games I"d be spending the same $15 or more a month to get all the content anyway

Guild Wars perceived shallowness is not because it's F2P but by design though.
 

Card Boy

Banned
except guild wars is a shallow experiance .

There is nothing wrong with spending $15 a month if your constantly getting new content. I've been paying for ultima online since its release and its been worth every penny .

In the end looking at F2P games I"d be spending the same $15 or more a month to get all the content anyway

Let's ignore GW and replace it wi GW2 or better yet replace it with LOTRO which is free. LOTRO comes out with heaps of content for free, not only that they are making more money than they did while they where P2P.

The $10-20 a month excuse for content and server costs needs to die in a fire.
 

IrishNinja

Member
that fucking sucks. gg EA management.
condolences to all affected, gotta be terrifying to lose your job in this generation/market.
 

Codeblue

Member
Not bad. He probably has nest egg and can easily find another job.

I feel bad for many of the low level people. :-(
I'm not worried about his welfare so much as I was thinking how much it would suck to leave a company for a different one, have your old employer buy your new one, then fire you.
 

Buxaroo

Neo Member
Guys this is obviously because of used game sales and the production costs of HD games and has nothing to do with bad practices and terrible management.


Dude! You forgot, it's the PIRACY as well!


Also, for those saying the industry is dying: tell that to Valve. And Bethesda. Bottom line: EA sucks, they buy up good companies and ass fuck them for all they are worth. Case in point: Bioware. Watch, SWTOR will go down the F2P route by Christmas or maybe next spring. The game is boring as shit. Endgame content is total shit. They spent $200-250 MILLION on this ffs. And we get voice acting? Play it safe and in the process STILL fuck up? None of you SW fanbuttbois give me any shit, I saw Star Wars in a theater in '77, I paid my dues for being a SW fan. I can and will talk shit about SW all I want. I paid $60+$30 for 2 months sub for TORtanic. Was the worst game investment I have made.

Hey, Skyrim has voice acting, except Skyrim is a good game. I don't see Bethesda going belly up. Oh that's right, they make good games. Who woulda thunk it? Battlefield 3 is the only EA game I still have installed on my computer. And I don't play it as much as I would want to (mainly because my C2D CPU sucks).

Also what's hurt sales is EA being greedy and wanting to cut Valve out of the picture by making BF3 and ME3 Origin-only. You know how many lost sales resulted from that? I bought BF3 reluctantly because I love the BF franchise. But other than that? Origin is a waste of space. I have 45 people added to my friends lost on Origin, everyone was hyped for BF3. Now? I never see anyone on Origin. But, I sure see a fuckload of them on Steam. EA thought they were going to be clever by making Origin and hoping to get people to come over from Steam. But no one wants to because there is zero reason. You can't buy other companies games (yet), there is no community or even a basis to get one really started. The GUI is limited with hardly any options to mess about with to change things. It's just a giant waste of effort.

And as one of the people said above me: it irks me that Kotickvision, oops I mean Activision, is doing really good while EA should be all rights being doing good with the companies they have bought up. But as usual when large corporations buy smaller ones, they ass fuck the smaller one to fit their shitty culture and totally forget why they bought them out in the first place. And I have first hand experience seeing how a large corporation buys a smaller one and just bleeds it dry over a couple of years where there is nothing left but a rotting husk.

ps, if I was an employee of a company that got bought out by a bigger company, especially one like EA, I would be looking for another job. It's just a matter of time.
 
Top Bottom