Amazon has announced major cuts to its gaming division, as it shifts focus away from supporting third-party games and streaming avenues. As first reported by Reuters and CNBC, Amazon plans to restructure its Games offshoot with a focus on developing its own games, including titles like Throne and Liberty and Blue Protocol, and upcoming titles in the Tomb Raider and Lord of the Rings franchises.
As a result of this shift, there will be significant job losses – more than 180 individual positions – with those working on the company’s Game Growth and Crown Channel initiatives impacted. These initiatives were designed with a view to promote game creators and content creators across various platforms.
Notably, this is the second major wave of layoffs to hit Amazon Games in 2023. Earlier in the year, the company cut an additional 100 jobs as part of a wider structural shake-up.
Read: Amazon layoffs hit gaming division, 100 jobs to be cut
“After our initial restructuring in April, it became clear that we needed to focus our resources even more on the areas that are growing with the highest potential to drive our business forward,” Christoph Hartmann, vice president of Amazon Games reportedly told staff in a November email.
“I know this is difficult news and that the impact will be felt widely. It never feels good to say goodbye to colleagues. This isn’t a decision the leadership team came to quickly; it was the result of extensive considerations and road mapping for our future.”
“We are proud of the work the teams have been doing, pushing into new areas with weekly content on Crown Channel, and finding more ways to help publishers reach new audiences with Game Growth. But after further evaluation of our businesses, it became clear that we need focus our resources and efforts to deliver great games to players now and in the future.”
Staff were reportedly informed of the job cuts on Monday – although Reuters reports this process began earlier in November, with a number of Amazon’s other divisions, including its music streaming and podcast divisions, already impacted by layoffs.
Amazon is reportedly working with those impacted to provide fair severance, as well as “outplacement services, health insurance benefits and more.”
