1010°

An Important Update from PlayStation Studios

Herman Hulst writes: Today, Sony Interactive Entertainment initiated a reduction in our workforce – including within PlayStation Studios – and I wanted to talk about the impact that will have. 

These decisions have been extremely difficult, but they are necessary, and I think it’s important to be transparent:

The US based studios and groups impacted by a reduction in workforce are:

Insomniac Games, Naughty Dog, as well as our Technology, Creative, and Support teams

In UK and European based studios, it is proposed:

That PlayStation Studios’ London Studio will close in its entirety;

That there will be reductions in Guerrilla and Firesprite

Read Full Story >>
sonyinteractive.com
BeHunted94d ago (Edited 94d ago )

PlayStation employed 8,000 people as of August 2023, which meant that 11.25% (900) of the employees had been laid off.

Sonic188194d ago (Edited 94d ago )

Didn't Microsoft layoff over 1,000 employers not too long ago? It's happening all over the gaming industry

https://www.theverge.com/20...

https://www.google.com/amp/...

Cacabunga94d ago

I think sony are really stupid and underperforming this gen with their gaming division..
if they announced more projects, none of this would have happened.. after closing Japan studio, now another legendary studio from London is closing..
it also turned out that the investments they have done by buying Bungie and others still hasnt given any result and benefit..

Jim Ryan, Herman Hulst on top of the chain should first be removed instantly they are amateur management..

Christopher94d ago

All of these companies are making profit and yet to keep profit margins they MUST get rid of people and force them to live with the increased cost world we live in.

It happening elsewhere doesn't excuse the economic issue and destabilization of the industry when it comes to people leaving it because of the larger number of firings. That's a lot of very knowledgeable and talented people leaving the industry for profit margins.

ChasterMies94d ago (Edited 94d ago )

Microsoft laid off a thousands across the company, including in the Xbox division, before buying Activision and more recently 1900 employees from Activision studios. Every tech company and game publisher is laying off workers. Maybe margins on software are falling. Maybe they expect AI to pick up the slack for less.

-Foxtrot94d ago

Cacabunga

“Jim Ryan, Herman Hulst on top of the chain should first be removed instantly they are amateur management.”

Well Jim is gone at least but I doubt it was “early retirement”…it’s complete and utter bullshit. No person puts a plan like moving their studios into GaaS projects and decides to bail before the fruits of that plan can be harvested

Sony saw they were in trouble thanks to him, the GaaS model has slowly started dying and they are either stuck with the projects that are almost done or the ones they’ve now cancelled while they could.

TiredGamer94d ago (Edited 94d ago )

Running a business is not a charity. Just because you are "making a profit" doesn't mean that you can continue to resource and fund parts of your operation that are not providing a return on investment. That's how good companies die - by not adapting, by not changing, and by not reducing areas of the business that are actually a drain on operations. Just look at the graveyard of the thousands of businesses that have come before.

Layoffs and cancellations suck, but they are and have been facts of doing business. Refining operations helps to preserve the rest of the company and the rest of the employees from complete dissolution.

CrimsonWing6994d ago (Edited 94d ago )

@Foxtrot

Yea but look at the success of Helldivers 2. 3 Mill sold already and nobody has complained that it's a GaaS game.

Hell, at one story I had someone comment to me that they didn't think Helldivers 2 was selling micro-transactions and is GaaS done well, when the reality of it is they are selling micro-transactions. Is there a GaaS game that doesn't rely on recurring revenue? That's literally the whole philosophy around the design, make an incomplete game with a budget spread out over many years and pray that consumer whales keep dumping money into it through its entire lifecycle.

People are loving Helldivers 2 and as a result you can bet that the door is now WIDE open. 2025 will be Sony's GaaS releases from the great Jimbo initiative. I do know there was the talks that Sony may have cancelled a handful, but with Helldivers 2 succeeding and Spider-Man 3 having some weird GaaS design around it, I think we've pushed the industry in the direction of this being a success. I do hope gamers enjoy.

GamerRN94d ago

@Sonic1881

Microsoft, if you read the article, has over 22,000 employees in the XBox division. They laid off approximately 8 percent, and all the Sony fans commented that they were the devil. Sony just laid off a larger percentage of staff, and your response is to point to Microsoft?

Anyway, the point is, the gaming market has stagnated, and it's time for a change. I think its more related to COVID and the upcoming recession, but I dont think the big companies are willing to weather the storm,

Lightning7794d ago

Yeah it made news everywhere what's your point?

Oh it's.. Whataboutism diversion tactic.

Einhander197294d ago

It was 1900, but Microsoft has fired over 5000 people from it's gaming division recently.

-Foxtrot94d ago (Edited 94d ago )

@CrimsonWing

The difference is Helldivers 2 is not a first party game

The issue with Jim is his GaaS plan involved his core first party single player driven studios which has totally f***** their steady flow they had going on

So it’s a different scenario

Helldivers 2s success did not come at the expense of derailing some great studios within Sonys gaming division

Christopher94d ago (Edited 94d ago )

***Running a business is not a charity. Just because you are "making a profit" doesn't mean that you can continue to resource and fund parts of your operation that are not providing a return on investment.***

Here's the problem, the people who are not utilizing those resources properly are not getting fired. A great developer on a project that some exec pushed and is a failure isn't their fault, it's the exec's fault. But who pays the price? The developer.

This concept of the people at top can just keep failing and others take the fall is the problem. And those people making those failing decisions? Still getting paid, still developer experience to go elsewhere, still costing other people livelihoods.

Running a business in this day and age treats employees as being disposable while hiding the failures of those in charge. Yay? Jim's one decision cost at least 900 employees their livelihood and not one exec at the top is able to find a way to use those resources. It's never possible to reallocate resources today, they must be let go.

Sonic188194d ago (Edited 94d ago )

@GamerRN

My point is that it's happening in the whole gaming industry and not just Sony. I can't speak on Nintendo because I don't know their situation. This is just the beginning, I see more layoffs incoming from Sony and Microsoft

Gamer7594d ago (Edited 94d ago )

They did and people on here criticized them over it and Sony deserve to also be criticized

itsmebryan94d ago

@sonic
What does that have to do with what @BeHunted said. It's sounds like a deflection.
Like I have been saying Sony is not doing well and I hope they get back on track. No, first party AAA games for a year , layoffs, 26% drop in operating income,
etc..

First smart decision was to follow Microsoft to PC with games day and date.

They were leaving too much money on the table.

Notellin94d ago

There are zero excuses for these layoffs. Insomniac games is printing them money.

This is absolutely disgusting and unacceptable.

senorfartcushion94d ago

IT DOESN'T MATTER ABOUT WHO DID WHAT.

FANBOYS ARE HELPING RUIN THE GAMING INDUSTRY WITH THEIR COMPLICIT IDIOCY.

The companies don't care about you and will make your gaming experience worse the longer you're forcing yourself to be loyal.

MrBaskerville93d ago

7000 layoffs in a year, if I'm not mistsken. A large portion of us were fired during january and february. Aiming high for new records!

Redemption-6493d ago

@Cacabunga

No one with an iQ above room temperature would expect the Bungie acquisition to show results within 2 years or less, especially with games talking 4-6 years to develop.

+ Show (16) more repliesLast reply 93d ago
Obscure_Observer94d ago

"PlayStation employed 8,000 people as of August 2023. This means that 11.25% (900) of the employers have been laid off."

That´s a lot!

Another veteran Playstation first party studio got the Axe!

Another first party game canned. Hundreds of developers fired.

Another sad day in the gaming industry.

94d ago
ifinitygamer94d ago

@ariv88, actually it's more than Microsoft by percentage - Microsoft laid off about 8.6% of its workforce, 1,900 of 22,000 people. It's a bad day for everyone, but don't spread misinformation while also calling someone else a troll.

Shikoku94d ago

@ifinitygamer

That's why percentage aren't useful here stop spreading misinformation. 900 is less than 1900 period full stop. Also Sony didn't do a merger with another giant company then lay people off.

dumahim94d ago Show
GamerRN94d ago

@shikoku

Percentages are very important. Yes, 1,900 is greater than 900, Im very proud of your keen math skills...

But, 11.25% is greater than 8.6%...

The bottom line is, both companies made comparable lay offs, and its a sign of an upcoming change...

Einhander197294d ago

That 1900 was only Microsoft's latest round, they have fired over 5000 people from their gaming division and over 20,000 people across the company in the past 2 years.

ravens5294d ago

He speaks the truth. Smdh it's crazy what's going on in the gaming industry.

Philaroni94d ago

I hate to say this, but its going to get worse. I mostly work in IT now and even though its not reported here. Its hitting everyone. I think it was CITI group that just talked about laying off 20K people...

"Earlier this month, the third-largest U.S. bank announced plans to reduce its headcount by 20,000 people over the next two years."

https://www.reuters.com/bus...

I just don't want people to pretend its just gaming and such. Its becoming a massive thing.

COS94d ago (Edited 94d ago )

@Einhander1972

I would stick to the gaming industry numbers, Microsoft has 222k employees, Sony has 113K.

Redemption-6493d ago

@GamerRN

Percentages are useless if you ignore other numbers. For example, MS laid off 10K people around January 2023 and about another 10K before the acquisition closed. This was followed by the 1900 last month. The only way to say Sony's Percentage is higher is to ignore all the layoffs from MS last year and only focus on this year only

FinalFantasyFanatic93d ago

@dumahim,
Holy moly, I've never seen that happen, even when he is right, everyone is taking Ls in the industry lately.

+ Show (8) more repliesLast reply 93d ago
RaidenBlack94d ago

According to Bloomberg's Jason Schreier, Sony has also canceled the new Twisted Metal live service game in early development at Firesprite for PlayStation 5 and PC.

Lightning7794d ago (Edited 94d ago )

Is saw that. I'm very, very upset about canning the Twisted Metal game. Sony wants LS games then cans it it makes no sense. Twisted Metal makes perfect sense for LS game imo.

Dark Day today that's for sure.

RaidenBlack94d ago

@Lightning77
Yea, agreed .... Twisted Metal absolutely makes sense as a live-service game ... canning that and still shipping other shooter live-service games seems bizarre
Haven Studios' live service game is a heist one ... even if we consider it being a cool project, can it be Twisted Metal level cool?

derek94d ago

@Lighting, and between you and Sony they actually know what state the project is in and how viable it is going forward.

Lightning7794d ago

Fairgames. I guess it can be but I dont know if it'll be as, I guess, interesting as Twister Metal? We get the general premise of Twisted Metal, car combat, customization etc. If Fairgames could could be a very different take since it is a Extraction shooter.

I think TM could be that game to headline Sony's LS games by using a fairly popular name like TM. Now perhaps they'll use something like Fairgames or Concord to headline their LS now.

anast93d ago

It was a wise decision. The crowd that was clamoring for this game was relatively small. I'm curious why they thought bringing this game back was actually a good idea. It would have done well under a million sales.

+ Show (2) more repliesLast reply 93d ago
MrNinosan94d ago

It's actually 8% based in what Jim Ryan have announced, but it's still very sad, just as all the lay offs lately.

thorstein94d ago

It's sick no matter who does it.

Profits over people.

Payroll should always come before profit.

MrNinosan94d ago

Well with your thinking, next to zero companies would exist.
Business need to think profit first to survive, however tough it sounds.

crazyCoconuts94d ago

seems there are some parts of the world that still aren't getting econ textbooks

Ps5conehead94d ago

Without profit there’s no payroll

thorstein94d ago

Without employees there's no profit. Wow. If only a few of you had passed high school econ class and English rhetoric then you'd know that ad hominem, red herrings are fallacies used when someone doesn't have an argument.

MrN. Not for profit capitalism exists. I have np problem with profit at all costs capitalism dying.

+ Show (1) more replyLast reply 94d ago
MagUk94d ago

Yeah but….. what about Microsoft.

derek94d ago (Edited 94d ago )

@Cacabunga and Foxtrot, you guys continue to live in an alternate reality. No playstation has not been "underperforming" this gen, and yes Jim Ryan retired after 30 years on the job now in his 60s. Both of you provide no objective measure to support your nonsensical claims. It's sucks that people lost their jobs today full stop, but corporate restructuring is a reality even in the best economic times. To claim gaas was a mistake is stupid/short-sighted especially given that Sony just launched it most successful gaas game to date.

derek94d ago

@GamerRn, no what people like me stated in regards the recent abk layoffs was that it was highly predictable and that many of the xbox dopes who argued the acquisition would be great for abk employees looked pretty dumb in making such claims. Microsoft even got a stupid trade union to back the acquisition which has since blown up in their face.

COS94d ago

Not that Sony is doing everything right, but I think the layoffs have more to do with the state of the industry. The Tech sector in general does a majority of layoffs this time of year. If you look at the gaming industry in general, mobile is growing at a significantly higher rate than console. 2.8 Console vs 10% Mobile. Covid factor is gone, people aren't staying home as much to play games, and Developers are way behind on games. It is a madrid of alot of bad things happening in a close timeframe.

+ Show (6) more repliesLast reply 93d ago
94d ago Replies(9)
OtterX94d ago

London Studio complete closure is devastating to hear. I was hoping for a Blood & Truth 2 on PSVR2, or at least a Remaster....part 1 was sooo good! :(

crazyCoconuts94d ago

To make matters worse there's a rumor going around that a Twisted Metal game was cancelled (probably theirs?)
To play that game in VR with a wheel, using cross play with non-VR players would have been amazing.
I'm not gonna cry about it, but... oh... crap.... alright, i guess i will a little :'-(

ApocalypseShadow94d ago

Agreed. This is utter bullshit of profits over people. Was also hoping that Blood and Truth 2 might be coming. Canning the studio won't allow that to happen.

I was just telling someone recently that in PM that Sony needs to do something than ride on profits. This sucks.

solideagle94d ago

I don't understand reductions in insomniac games. They just delivered Spiderman 2. Maybe contractors were let go.

After Japan now London :(

porkChop94d ago

Contractors wouldn't be counted as full time staff. These were actual Insomniac devs.

MrBaskerville93d ago (Edited 93d ago )

I think higher ups might be of the opinion that they spent too much money on Spiderman 2 and wanted them to scale down.

Another theory I have, is that they hired people for some gaas project and has now canned it. Have a feeling that Sony is pivoting away from gaas again, which is why the whole operation has stalled and why people are loosing their jobs.

No matter what, it's poor decision making of CEOS that has caused this. CEOS that continue to earn millions.

FinalFantasyFanatic93d ago

What was even the thought process behind closing Japan down?

shadowT94d ago

Yes, at least a PS5 remaster.

+ Show (2) more repliesLast reply 93d ago
Asterphoenix94d ago

It's gutting that employees are getting laid of. It's everywhere all for the sake of higher ups keeping their dollars 😭.

FinalFantasyFanatic93d ago

I don't understand why gutting the CEO's pay isn't the first thing companies do, it's obviously bad management, you could probably save a portion of those jobs by docking their pay. I recall that a Nintendo CEO docked his own pay to keep staff at one point when the company wasn't doing too hot.

VincentVanBro94d ago

Yikes 😩 more industry layoffs.

Show all comments (228)
200°

Former Activision studio Toys for Bob partners with Xbox to publish its first game as an indie

Former Activision studio Toys for Bob partners with Xbox to publish its first game as an indie. This is something of a homecoming, as Microsoft owns Activision.

Read Full Story >>
engadget.com
Obscure_Observer15h ago

Very very early in development. Still, fantastic news!

Let´s GO!!!

Lightning7713h ago

I guess.

How come they didnt either let them go or sell Tango and others to another publisher? Not saying Ubisoft, EA would be any better. (Capcome would of treated them right )

At least it wouldn't be MS of all ppl destroying them.

MS really should let go Tango go like they did TFB here.

darthv7213h ago(Edited 13h ago)

one was under Bethesda (Tango) the other under Activision (TFB). Clearly each one handled the separations of their subordinates differently.

Obscure_Observer12h ago(Edited 12h ago)

"How come they didnt either let them go or sell Tango and others to another publisher? Not saying Ubisoft, EA would be any better. (Capcome would of treated them right )"

Perhaps because Zenimax and ABK handles such matters differently based on their own internal policies as "independent" publishers.

Whoever, chances are it´s simply because MS didn´t wanted Tango or Austin to be acquired by competitors and develop new bangers for them, giving MS a bad rep in a possible future. Which could also be the reason why they ensured an exclusive partnership with TFB and its new game, before anyone else.

Sad and disgusting. But it is what it is.

Lightning779h ago(Edited 9h ago)

"Whoever, chances are it´s simply because MS didn´t wanted Tango or Austin to be acquired by competitors and develop new bangers for them, giving MS a bad rep in a possible future."

MS has a bad rep now because those studios are no more. I rather them sell the studio continue to make multiplatform releases, while MS continues to focus on whatever they're doing. If they didn't want Tango around they should separated from them or sell them to, like they did TFB.

It's inexcusable, they have options on how to handle studios they don't want anymore with killing jobs. Not just MS but the rest of the industry also.

Sad and disgusting sure how many will get shut down next year or this year even?

I don't trust MS decisions and motivations at this point. You have to admit they make one dumb move after another.

Obscure_Observer2h ago(Edited 1h ago)

"MS has a bad rep now because those studios are no more. I rather them sell the studio continue to make multiplatform releases, while MS continues to focus on whatever they're doing. If they didn't want Tango around they should separated from them or sell them to, like they did TFB."

Imo, MS separated from TFB because they didn´t had a game associated with Xbox yet, unlike Tango.

"I don't trust MS decisions and motivations at this point. You have to admit they make one dumb move after another."

Fair enough. It was indeed an epic dumb move from them to close Tango.

Still, all to be forgotten, like always have. This is not the first time a big publisher shuts down a beloved and/or successful studio out of nowhere and certainly won´t be the last. Do you remember Lionhead? Do you remember Evolution Studios? Yeah... both were beloved studios and yet, those companies kill those studios in q blink of an eye and got away with it.

-Foxtrot15h ago

Manages to buy their freedom especially after all the shit Microsoft has been doing with its studios lately

...

Goes right back to them as partners.

Okaaaaaay...

darthv7213h ago

Id venture a guess that TFB working directly with MS was a better outcome than working through Activision to get to MS.

VersusDMC11h ago

From the article...

"Toys for Bob spun out as an indie back in February after Microsoft instituted sweeping layoffs that impacted 86 employees, which was more than half of the staff"

I doubt those 86 employees enjoyed the Microsoft experience over Activisions.

Inverno11h ago

MS shuts down studios because of lack of resources and then helps these guys by giving em resources. Also MS is what forced them to buy their freedom in the first place? What kind of logic 😂

Chevalier8h ago

The best thing is that the company that is worth $3 trillion and owns the company instead of Xbox lacks resources. How the hell does a company worth $3 trillion making a measly $70 billion purchase they 'can't' support. Lol

Sciurus_vulgaris13h ago(Edited 13h ago)

Xbox’s gaming division seems to still function as 3 semi-autonomous sub-divisions, Xbox Studios, Bethesda and ABK. The three main sub-divisions can seemingly shut down or build studios and set up partnerships independently. This would explain why Bethesda can recently shutdown studios, while ABK spins off one studio, while building a new one. Plus, Toys for Bob could be spun off by ABK, only to immediately re-partner with Microsoft.

Chevalier8h ago

That's absolutely 💯 BS. Any sane 'autonomous' company would NOT put their games on Gamepass day 1 like COD will lose probably billions.

Also they're all under Xbox game studios so any autonomy is an illusion.

Elda8h ago

Either a kiddie game or something uninteresting.

Obscure_Observer1h ago

Don´t worry. You won´t be playing it anyway since their next game will possible be a next gen Xbox console game.

Elda22m ago(Edited 22m ago)

Don't worry about my comments.

Show all comments (18)
190°

Sony shares big new PS Plus stat, but not the one we want to see

PlayStation Plus has improved the split of PS4 and PS5 players on its priciest tiers, but Sony continues to hide total subscriber numbers.

Read Full Story >>
theloadout.com
mandf19h ago

lol acting like it’s equivalent to ms numbers

Mr Logic18h ago

Uh...They're definitely not equivalent.

"Microsoft’s Xbox Game Pass service now has 34 million subscribers."

"the total number of PS Plus subscribers across all tiers was 47.4 million"

darthv7218h ago(Edited 18h ago)

That PSN number seems like it should be much higher... especially when you consider that PS4 alone has a sell through of over 117m. To not even be at least half that is rather interesting.

To the XB side, having 34m to an install base of roughly 50m (XBO sell through) or even 85m (360 sell through) is a greater percentage of unit to member ratio than PSN.

bloop14h ago

That's not the "gotcha" you think it is Darth.

darthv7213h ago

^^it's not supposed to be bloop.... it's just an interesting observation.

Einhander197212h ago

darthv72

"That PSN number seems like it should be much higher... especially when you consider that PS4 alone has a sell through of over 117m. To not even be at least half that is rather interesting.

To the XB side, having 34m to an install base of roughly 50m (XBO sell through) or even 85m (360 sell through) is a greater percentage of unit to member ratio than PSN."

Have you ever heard of a PC before? I hear they are pretty popular.

fr0sty6h ago

MS started lumping gold subscribers in with those GP numbers... keep in mind.

+ Show (2) more repliesLast reply 6h ago
shinoff218317h ago(Edited 17h ago)

What. Definitely more os plus subscribers but that makes sense due to actual console sales

Darth the difference between the bases are huge your right but you gotta think. Ps players buy more games, where as the Xbox base relies on gamepass for their gaming. So it makes perfect sense

darthv7217h ago(Edited 17h ago)

What makes perfect sense though? You say PS players buy more games... so then logically there should be more PS+ subscribers given the increased number of online multiplayer games in the PS4 generation alone. The PS4 was the first time that + was required for online play much like Gold was for 360 users.

Keep in mind we are talking subscribers, not simply XB/PS users. I assume you meant to say offline single player games, which is most likely true as well. That gen also saw a significant increase in games with an online component comparted to the previous gen.

victorMaje16h ago

I for one will be going back to essential at the next renewal. When I feel a game is good & right up my alley, I’ll check trusted reviews & just buy it.

jznrpg15h ago(Edited 15h ago)

I have the top tier until 2028 as they gave me a massive discount for all the years I had left but I’ll most likely go to essential as well. I buy my games but my kids do use the service occasionally. They do prefer to own their games as well since any game can leave the rental service at some point and they don’t like that idea. They mostly use it to demo games then ask me to buy games if they really like it.

RedDevils11h ago

For me, I will cancel it all together but unfortunately I still have it till 2030 lol

meganick15h ago

I would like to see Sony add a fourth tier of PS Plus for people who just want to be able to play games online without any of the perks like monthly games, store discounts, or anything like that, and it should cost $20 annually, $30 maximum. There’s no way I’m paying $80 just to play games online. Even the original $60 fee was too much, and I would often wait for sales to re-up my subscription.

P_Bomb11h ago(Edited 11h ago)

Essential is too expensive, I agree. We’ve got one Essential and one Premium sub. Dropping the Premium when it expires.

gamerz8h ago

Just let my subscription lapse for the first time since 2010. Will sub again every now and then for a month or so to access my old ps+ games but for me it's the end of an era.

DivineHand1257h ago

Let those numbers continue to drop because it is now too expensive. $80 per year just to play online. I noticed they didn't offer any discounts on the subscription or controllers during this year's days of play for the first time in many years and they will feel it when people choose not to renew.

My subscription will lapse next month and it will stay that way until further notice.

KevtheDuff3h ago

There were savings on subs and controllers here in the UK? I bought a controller yesterday in the sale..
It would be weird if those deals were not in other territories too?

130°

What Happens to Your Steam Account When You Die?

The Outerhaven writes: While Steam has come out recently, stating that Steam accounts can't be transferred, we need to think about it since we all will eventually kick the bucket. But if Valve is denying transferring accounts, what can be done? Plenty, actually.

Read Full Story >>
theouterhaven.net
thorstein1d 16h ago

It goes to my kids because I gave them the passwords.

To Steam: Missio has a song that conveys my feelings about you stealing my purchase after I die. It's called "Middle Fingers"

shinoff218321h ago

Pretty much. My son knows my info.

Abear2121h ago

Yeah worrying about digital ownership when you’re on the other side of the grass seems a little strange, but also on brand for these millennial journalists to worry about.

qalpha6h ago

I'm sure Keith will be happy to hear he's a millennial journalist.

Goodguy011d 1h ago

I suppose if I have kids, I'd just give em my account details by retirement age. If I die young then...idk lol.

CrimsonWing6923h ago

Yea, I mean just give someone the password to your account. Is that difficult to do or something? Like, I’m legit asking because I don’t know.

anast21h ago(Edited 21h ago)

It's not difficult but It's against the policy. If they find out, they will lock the account permanently.

CrimsonWing6920h ago

Ah ok, I had a feeling there was something like that. It seems kind of weird that you can’t just hand your account over to a family member or friend and let them take over the account.

Show all comments (15)