Hello again !

The gaming industry witnessed a notable influx of high-profile releases in 2023, featuring titles such as Baldur's Gate III

The Legend of Zelda: Tears of the Kingdom, and Alan Wake 2.

However, beneath the veneer of success, a less-discussed reality emerged as

the industry experienced significant workforce challenges, resulting in approximately 9,000 employees

facing layoffs throughout the year.

This estimate is derived from meticulous tracking of job cuts since the inception of 2023, offering a sobering counterpoint to the industry's record-breaking performance. Despite numerous AAA and indie game releases achieving an average score of 90 on Metacritic, a significant portion of the workforce grappled with job uncertainty.

Noteworthy among the companies facing layoffs is Unity, which, according to the latest available data as of December 12, 2023, terminated 1,165 employees, constituting nearly 12% of its total workforce.

Additional substantial layoffs occurred in other key industry players, with one company dismissing 16% of its staff

(830 individuals) in September, and another reducing its workforce by 700 positions,

equivalent to 6% of its staff. The ripple effect extended to smaller studios,

as evidenced by an 80-member layoff following the closure of a development project due to overarching corporate restructuring.

In total, the impact of these layoffs was felt across approximately 170 companies within the gaming sector.

Insiders attribute these actions to an industry-wide urgency to curtail costs and streamline operations, with CEOs navigating the challenge of addressing the paramount cost factor – personnel. The year 2023 showcased a discernible trend wherein industry leaders made strategic decisions to optimize organizational efficiency.

Thanks for reading , and till next time !