Sony Interactive Entertainment (SIE) has announced a restructuring plan that includes a reduction of 8% of its global PlayStation workforce, along with the closure of PlayStation London Studio.
The news was conveyed through an internal email shared by SIE president and CEO Jim Ryan in a blog post. The layoffs will impact employees across all SIE regions, spanning the Americas, Europe, Middle East, Africa (EMEA), Japan, and the Asia Pacific (APAC) regions.
Specifically in Europe, PlayStation London Studio will be shuttered, and adjustments will be made at Firesprite and Guerrilla Games. Meanwhile, in the United States, Insomniac Games, Naughty Dog, and various other teams, including those responsible for technology, creative endeavors, and support within PlayStation, will be affected. This information was detailed in a separate blog post by Hermen Hulst, head of PlayStation Studios.
Ryan attributed the restructuring decision to the “evolving economic landscape” and changes in the company’s approach to product development, distribution, and launch strategies.
“The goal is to streamline our resources to ensure our continued success and ability to deliver experiences gamers and creators have come to expect from us,” Ryan wrote, acknowledging the challenges ahead and the impact on employee wellbeing. He assured that affected employees will receive support, including severance benefits.
Despite the difficult decision, Ryan emphasized that it does not reflect a lack of strength in the company, its brand, or the industry as a whole. The aim is to remain agile and adaptable, focusing on delivering the best gaming experiences both presently and in the future.