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EA Lays Off 670 Employees to Cut Costs

On February 27, 2024, Electronic Arts (EA), known for their games like The Sims™ and Plant VS. Zombies announced a restructuring plan that includes eliminating approximately 670 positions globally. It impacted various departments and caused EA to cancel several projects as well, including a Star Wars game.

Reasoning Behind Restructuring

laura miel electronic art

In a recent interview, EA’s CEO disclosed that the move aligns with long-term vision and goals amid fast industry changes.

As part of this strategy, both Wilson and EA entertainment president Laura Miele emphasized a shift in focus. Instead of pursuing licensed intellectual properties, the company plans to concentrate on developing new installments of its established blockbuster franchises—moving away from acquiring new licensed IP.

Impact on the Gaming Community

 star wars respawn

With the recent news broken out, IGN reported that an unannounced Star Wars FPS game from Respawn was canceled. Star Wars Jedi 3 and EA’s Black Panther game, both of which are based on licensed IP, will continue development.

The news has caused understandable concern within the gaming community. While EA will provide severance packages and assistance to affected employees, the well-being of those impacted remains a significant concern. Additionally, fans of canceled projects, like the Star Wars title, face disappointment and uncertainty about the future of their favorite franchises.

Broader Industry Trends

An Electronic Arts office building is shown in Los Angeles, California

As gaming continues evolving from physical purchases toward live services and mobile experiences, companies that grew large on traditional business models have struggled to adapt lately based on EA’s and competitors’ earnings reports.

As the company faces industry evolution and recent workforce reductions, EA remains dedicated to providing captivating gaming experiences for its global audience. The company’s ability to optimize its strengths and address its shortcomings will be essential in shaping its future success. 

The Road Ahead

andrew wilson - electronic art

To meet financial goals, EA’s CEO Andrew Wilson made more job cuts, continuing his push for digital revenue. As fiscal year 2025 starts, EA restructures to capitalize on mobile, subscriptions, and digital opportunities. The coming months will reveal if this strategy works amid the industry’s digital transition.

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I am an award-winning professional Freelance Writer with over 2 years of experience writing for Content Creators and Companies. My work includes SEO, Copywriting, Blog Writing, Content Writing, and Scriptwriting. Also, I just love strategy, MOBA, and FPS games like Valorant, Total War, and League of Legends!

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