American video game developer and publisher Epic Games is reportedly laying off approximately 900 employees.
Bloomberg’s Jason Schreier took to Twitter to report that Epic Games would be laying off “16% of employees (or around 900 people.)” The full report by Schreier on Bloomberg News states that the news was revealed to employees in a memo to the staff, with the source cited being a person “familiar with the matter” who has asked not to be named at this time.
Schreier also noted on Twitter that “rumors were flying” this morning as the company had disabled Slack — an instant messaging service often used in workplaces — for employees before the news was revealed. The employees who are laid off will apparently receive six months severance as well as health benefits. Finally, Schreier states that the story is still being updated as more information is revealed, as an “all-hands” meeting is taking place soon.
You can see Schreier’s tweets below:
What is Epic Games known for?
Located in Cary, North Carolina, Epic Games is one of the largest privately held companies in the video game industry. It was founded by Tim Sweeney as Potomac Computer Systems in 1991 before becoming Epic MegaGames in 1992 and is best known as the developer of the massively popular battle royale game Fortnite, as well as the developer of the Unreal Engine.