Business gonna business. A lot of tech companies are laying off workers after investing big early in the pandemic and expecting things to remain that way. If the revenues coming in can’t support the costs going out, they’re going to have to either raise revenues or cut costs.
Cutting costs means cancelling projects and laying off workers. Ubisoft in particular is in more financial trouble, specifically because they have a big headcount but can’t seem to hit the kind of numbers that publishers like EA and Activision can with a similar headcount - probably because they don’t have as strong a mega-franchise as FIFA or Call of Duty.
This is all very much expected after the financial results came in. Many tech companies started heavily cutting costs last year - Amazon, Facebook, Google, Apple, Twitter, Netflix, and a whole slew of startups and smaller companies hired really hard in the early pandemic in part because of the super high jump in revenues from then. I foresee more bad news on the horizon from others, and not just Ubi.
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