Tech Layoffs: Take-Two, the Creator of Grand Theft Auto, will Let Go of 5% of its Staff

By Consultants Review Team Wednesday, 17 April 2024

The firm that created the "Grand Theft Auto" video game franchise, Take-Two Interactive Software, said that it will lay off around 5% of its employees. This will affect the company's about 600 employees and coincide with industry employment losses that have been ongoing for more than two years. In an effort to control costs and streamline operations, the corporation has announced that it will terminate a number of active initiatives.

Previously, Take-Two increased the size of its portfolio when it paid $460 million to acquire Gearbox, the company behind "Borderlands". The business declared that it is still entirely committed to creating the next blockbuster "Grand Theft Auto" game.

What did the corporation say about the layoffs?

A total of $200 million might be spent by the corporation on layoffs and canceled projects; canceled projects could contribute as much as $140 million, while severance and other employee-related expenditures could total up to $35 million.

Is it a persistent pattern in the gaming industry?

Yes, the industry has been dealing with more serious issues, which is why in 2024 businesses like Sony Corp., Riot Games, and Tencent have also cut staff. According to research company Newzoo, the slower growth may last until 2026 and be lower than pre-pandemic levels.

Current Issue