Embracer Cuts Over 1800 Jobs in Last Year: What's Next

Embracer Group has announced significant workforce reductions, totaling over 1800 employees in the past year, as detailed in their annual report. The company has faced challenges following the collapse of a $2 billion proposed partnership, leading to layoffs across its PC, console, and mobile game segments. Notably, their PC and console segment saw a drop of approximately 25% in personnel. The report indicates a total turnover rate of 20%, combined with ongoing restructuring following a split that created separate entities like Coffee Stain Group and Asmodee. Embracer aims to maintain an inclusive workplace despite the changes, emphasizing training and diversity. Looking ahead, the company plans to release 76 new games in the upcoming financial year, with anticipated highlights including Amy Hennig’s Marvel 1943: Rise of Hydra.

The layoffs at Embracer Group stem from a combination of restructuring processes initiated after the collapse of a significant partnership and the decision to split the company into separate entities. This restructuring led to a significant reduction in the workforce across various game development segments.

Embracer Group has been a major player in the gaming industry, known for acquiring a diverse range of intellectual properties and studios. The company’s portfolio includes numerous popular franchises, and its focus on expanding game development projects highlights its commitment to growth in the competitive gaming market. With a history of acquiring teams and IPs, Embracer's recent restructuring indicates a strategic shift as it navigates changing industry dynamics.