A story on Startupgrind claims that sources have informed them that between 500 to 1000 jobs will be axed at EA.
Layoffs are rumoured to be announced soon following Star Wars: The Old Republic not matching EA’s expectations. Despite selling an estimated 3M units, subscriptions are in decline which could make the MMO unsustainable in the future.
According to the initial story, EA ‘chased’ the launch of SWTOR ‘dumping’ an estimated $30MM into incremental marketing post launch.
EA has responded in a statement made to MCV this afternoon denying the layoff story but with a bit of a get-out clause.
“There are no lay-offs as such, we always have projects growing and morphing. At any given time there are new people coming in and others leaving. EA is growing and hiring and building teams to support the growing demand for digital games and services.”
Careful wording from EA, and by the nature of the response, no doubt we’ll here more on this later this week.