It was recently revealed that due to a projected $1.1 billion fiscal loss Sony will be downsizing 5,000 jobs by March 31. These layoffs are largely focused on the TV division (which has reported ten straight fiscal losses) and the PC division (which is being sold off), but the PlayStation brand is not entirely safe. Sony has confirmed that their Santa Monica Studios will be hit with layoffs. Hit the jump for more details
Sony Santa Monica, best known for the God of War franchise, is currently working with Ready at Dawn on The Order: 1886, but they’ll be doing so in the future with fewer workers. In a statement to IGN, Sony explained the layoffs.
SCEA can confirm that we have completed a reduction in workforce at Santa Monica Studio. This is a result of a cycle of resource re-alignment against priority growth areas within SCE WWS. We do not take these decisions lightly. However, sometimes it is necessary to make changes to better serve the future projects of the studio. We have offered outplacement services and severance packages to ease transition for those impacted.
No official number has been released, but Francois Roughol of the recently disbanded Irrational Games seems to have an inside scoop on the situation.
After Irrational Games, Sony Santa Monica with 50 laid off. This industry is doing just fine!
— Francois Roughol (@froughol) February 25, 2014
It’s unclear whether Roughol has a source within the studio who gave him the number or he’s just estimating. Either way, it’s a concerning sign for the state of the industry when yet another major company is making large-scale cutbacks, especially heading into a new console generation.