Electronic Arts Expands Job Cuts to 10% of Workforce

Authored by Mark Hefflinger on December 19, 2008 - 10:34am.

Redwood City, Calif. - Two months after unveiling plans to trim its workforce, video game publisher Electronic Arts (NASD: ERTS) announced on Friday that those cuts will be broader than originally expected. The video game developer and publisher said that it plans to cut about 1,000 jobs, or 10% of its workforce. That's up 4% from the company's announcement on Oct. 30.

The restructuring, expected to save EA $120 million a year, also calls for consolidation or closure of at least nine studio and publishing locations.

Among the affected studios to be consolidated is EA's Black Box Studio in Vancouver, Canada, whose development teams will be migrated to its nearby facility in Burnaby, B.C.

The majority of the cuts are expected to take place by March 31.

"EA is implementing a plan to narrow its product portfolio to focus on hit games with higher margin opportunities," the company said in a statement.

 

Related Links:
http://biz.yahoo.com/bw/081219/20081219005462.html?.v=1

http://www.ea.com

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