Take-Two has confirmed that it’s laying off staff at publishing arm Private Division, calling them “necessary steps” as it attempts to “position the company for another extended period of success.”
Private Division, the publishing arm responsible for games like Kerbal Space Program and OlliOlli World, has been affected by a number of layoffs at Take-Two. The company had revealed that it was looking for $50 million in annual savings during its Q3 2023 financial report, which was followed by Take-Two’s CEO Strauss Zelnick telling GamesIndustry.biz that “broad-based reductions” weren’t expected as the company was “going department to department and trying to drive efficiency.” Unfortunately, the layoffs have now been confirmed.
Kerbal Space Program and After Us publisher Private Division faces layoffs
Bloomberg’s Jason Schreier reported yesterday that layoffs were taking place at Take-Two, and now the company has confirmed it via a statement sent to PC Gamer. According to the statement, the cuts are “necessary steps” in Take-Two’s plans to “position the company for another extended period of success.” In its Q3 2023 financial report, Take-Two reported that it had seen a 56% year-over-year increase in its quarterly revenues, which amounted to a staggering $1.4 billion.
“We can confirm that there have been targeted reductions in our US teams, primarily in corporate operations and label publishing, which will better align our organisation with our long-term priorities. We continue to make strategic investments in our talent and technology to deliver our long-term pipeline, and the impact of these changes on our US development teams has been minimal,” Take-Two spokesperson Alan Lewis told PC Gamer. “Outside of the US, we have begun procedures in compliance with local law that we anticipate may result in similar reductions. Take-Two has experienced exponential growth in recent years, and we are taking these necessary steps to position the company for another extended period of success.”
Private Division is currently working with Intercept Games on Kerbal Space Program 2 and Piccolo Studio’s action-platformer game After Us.
What do you think about this news? Drop down below and let us know!
Leave a Reply