Amazon’s latest round of layoffs has reportedly impacted its gaming division, with 100 jobs expected to be cut from Prime Gaming, Game Growth, and Amazon Games’ San Diego Studio. While some staff will reportedly be reassigned as the company refocuses its strategy, it’s expected that some job losses will result.
In a memo published in full by CNBC, Christoph Hartmann, Games VP at Amazon, reportedly reassured staff that any layoffs would be handled with respect, and the appropriate compensation.
‘There is never a pleasant way to share this sort of news, but we are committed to treating our impacted employees with empathy and respect, and will support them by offering them severance pay, health insurance benefits, outplacement services, and paid time to conduct their job search,’ he said.
As noted by CNBC, the cuts follow company-wide shifts at Amazon, which has in recent months turned its focus to cost-cutting measures. Recently, the company announced major layoffs, totalling around 27,000 jobs in 2023 alone.
Those working in the wider Amazon Games division were reportedly notified of their employment status in early April, with several being reassigned or cut from ongoing projects.
Despite these job losses, Amazon is pushing ahead with its plans to strengthen its games output, per Hartmann’s enthusiasm about the company’s upcoming games pipeline.
‘I am confident in the direction we are headed,’ Hartmann said. ‘Amazon Games has gained momentum over the past couple of years thanks to your hard work, dedication and commitment to players. We’ve launched two games and have seven more projects announced, with even more in the pipeline, in addition to the new Crown shows and Prime Gaming content we have lined up.’
It’s likely Amazon Games’ The New World is part of these upcoming plans, which, alongside Lost Ark, forms the backbone of the company’s major game offerings. Whether the newly-announced gaming division layoffs will impact timelines and plans for future developments is currently unknown.
For now, it appears Amazon is forging ahead, despite its strategic reshuffling, and the subsequent human cost. Our thoughts are with those impacted by Amazon’s ongoing layoffs.