At the end of 2023, many analysts noted that the year had become difficult for the gaming industry due to a large number of layoffs. The gaming industry’s growth has stalled, forcing studios to make cuts. However, 2023 turned out to be softer in terms of layoffs than 2024.
Analysts have summed up the results of 2024 for the gaming industry in terms of layoffs. The most interesting details they reported:
- In 2023, 11,250 employees in the industry were laid off. For 2024 (as of October) – 13,000 employees. In total, over 2 years, almost 25,000 employees lost their jobs.
- The main reason for layoffs is the rising cost of game production. If 10 years ago a large project was created for $50-150 million, now the amount is $300-400 million, and sometimes it can be higher. At the same time, the price of games has increased slightly.
- Even companies that have successful gaming services, such as Epic Games, have made cuts in 2024.
Recall that at the beginning of 2024, Microsoft announced the dismissal of 1,900 employees from its game studios. Later there were even smaller rounds of layoffs.
