Majesco Lays Off 20% of Staff, Exits Premium Games Market

Authored by Mark Hefflinger on January 19, 2006 - 3:27am.

Edison, N.J. - Video game publisher Majesco Entertainment announced that it has laid off 20% of its staff and plans to exit the premium console video game publishing business, citing development costs and a disappointing fourth quarter. The company's fourth quarter revenue was $4.6 million, down from $45.3 million a year earlier, while its net loss was $34.2 million, compared with net income of $16.2 million in the fourth quarter of 2004. New Jersey-based Majesco plans now to focus on developing and publishing budget-priced console games, and titles for handheld devices. "This has been a difficult year for Majesco," said Majesco president Jesse Sutton. "We entered the premium console market with high expectation for success, but as a result of a variety of factors we were not able to meet our expectations. Recently, we evaluated our product portfolio and have sold or cancelled most of our premium console titles that were scheduled for release in 2006 and beyond."
http://biz.yahoo.com/prnews/060118/nyw131.html?.v=40
http://www.gamesindustry.biz/content_page.php?aid=14152
http://www.majescogames.com