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EA Feels the Economic Crunch

November 10, 2009 Written by Anthony Severino

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Electronic Arts, one of the world’s largest video game publisher and developers is definitely feeling the effects of the dwindling economy. Earlier this year, EA laid off 1100 employees (11% of it’s workforce) due to a poor finish in 2008. Today John Riccitiello revealed that EA is laying off an additional 1500 employees company wide. So what does this mean for gamers?

Along with the announcement of a massive company-wide layoff, John Riccitiello, CEO of Electronic Arts, also revealed a bleak outlook for what he considers “risk” titles.

When Riccitiello was asked about how the layoffs would affect any upcoming projects he responded that the company would cut development on 12 still unannounced projects, focusing on tried and true EA franchises that make for guaranteed sales.

When you have companies like Activision milking an IP for all it’s worth, it’s sad to see that the economy will kill creativity as the industry skips on risk, and sticks with the same old safe bets.

Looks like we can wave goodbye to a Mirror’s Edge sequel, and any chances of Road Rash ever hitting next gen consoles.