Video Game Publisher Activision Cuts 7% of Staff

Authored by Mark Hefflinger on February 14, 2006 - 10:33am.

Santa Monica, Calif. - Video game publisher Activision has laid off 7% of its staff, or about 150 of its 2,200 employees, from its headquarters in Santa Monica, Calif. The company said the cuts are part of a strategy to optimize its cost structure and resource allocation during the transition to next-generation game consoles. The layoffs at Activision come shortly after rival Electronic Arts cut under 5% of its worldwide staff; both game publishers have also recently slashed prices on their games for current-generation consoles, in a bid to increase sales. Activision's games include the top-selling "Call of Duty" and Tony Hawk skateboarding franchises.
http://tinyurl.com/cmp3p (Reuters)
http://www.gamesindustry.biz/content_page.php?aid=14700
http://www.activision.com