Not content with having indicated the studio's release of Company of Heroes after laying off 121 employees last May, Sega will still deal a blow to its European and more precisely British activity. While it had already cut 250 jobs in its European subsidiaries last September, Sega has decided to eliminate 240 positions additional, a good part of which at Creative Assembly, which had already been sanctioned last year as part of the shock cancellation of Hyenas. Sega's management had already pointed the finger at Europe, the region where its profitability has fallen most sharply since the decline in post-COVID-19 demand and the prevailing economic slowdown. The majority of the 240 job cuts concern Sega Europe and Creative Assembly, but Sega Hardlight studio is also hit by “a small number” of layoffs. Two Point Studios and Sports Interactive are a priori spared, the last named being at the top of its form with the Football Manager license.
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Segalère at the moment
“ I would like to sincerely apologize for the concern and understandable distress that this news will cause, particularly to those directly affected. These decisions were incredibly difficult to make and followed careful review and deliberation with leadership teams across the company. Change is necessary to secure the future of our games business and to ensure we are well placed to deliver the best possible experiences for our players in the future. We need to streamline, focus on what we know how to do and best position ourselves for the future. To do this, we must respond to the changing economic landscape and the challenges we face in how we develop our products and bring them to market “, has argued Jurgen Post, back at the helm of Sega's Western studios, a position he had already held successfully between 2012 and 2017.
In a field less concerned with humans, Sega noted to shareholders that these layoffs as well as the depreciation of certain securities under development will have a negative impact on its future financial results. This loss of 11.8 billion yen (72.2 million euros) will be recorded in the fiscal year ending March 31, 2024. A decidedly inglorious year for Sega, despite the acquisition of Rovio and the success of certain titles from Japan such as Like a Dragon: Infinite Wealth, Persona 3 Reload and Unicorn Overlord.
- Also read | Jurgen Post takes over as CEO of Sega Europe