Riot Games, the company behind League of Legends, has announced a significant workforce reduction, with approximately 530 employees being laid off. This move represents 11% of the company’s total workforce and comes alongside the decision to shut down its publishing arm, Riot Forge.
Key Takeaway
Riot Games is laying off 530 employees, amounting to 11% of its workforce, and shutting down its publishing arm, Riot Forge. The affected employees will receive a severance package and support services during the transition.
Details of the Layoffs
Riot Games has communicated the details of the layoffs through two separate posts. The affected employees have been assured of a severance package, which includes benefits such as access to job placement services, counseling, and visa support. Additionally, those departing the company will receive new laptops to replace their work computers if needed. It’s important to note that the teams most impacted by these changes were outside of the core development team.
CEO’s Statement
In a message addressing the affected employees, CEO Dylan Jadeja expressed deep regret over the impact of the layoffs on the individuals and their families. He emphasized the company’s commitment to providing support during this transition and acknowledged the dedication of the departing employees to the players and the company.
Changes in Publishing and Game Development
Riot Forge, the publishing group established in 2019 to collaborate with independent developers for creating new League of Legends stories, will be officially discontinued after the release of its sixth game, “Bandle Tale: A League of Legends Story.” This decision comes as Riot Games acknowledges that some of its significant investments, including the digital collectible card game Legends of Runeterra, have not yielded the expected results. While Legends of Runeterra will continue, the company plans to downsize the team and focus on enhancing its single-player adventure mode, the “Path of Champions.”
Industry Trends
Riot Games’ decision to downsize its workforce and discontinue certain projects aligns with similar moves made by other major players in the video game industry. Companies like Epic Games, Ubisoft, Electronic Arts, and Activision Blizzard have also implemented job cuts in recent times, reflecting the evolving dynamics within the gaming sector.
