Embracer continues to consider divestment from Estudios and confirms more such closures are on the horizon: “On the divestment side, there is a strong and vibrant market with many active players“.
the industry Subordinate Video game which has He embraces in ComputerSteam Deck, PS4, PS5, Xbox and Nintendo Switch continue to take a toll, so after Volition and possibly Gearbox we may see other closures and/or sales.
Lars Wingfors is the current CEO of Embracer Group And according Collecting The game developer will need to “Keep making tough decisions“To become a more resilient and profitable company than it is now.
But to make that happen, after explaining his failure in a recent important strategic agreement, he hinted that more studio closures and layoffs are coming.
in Question and answer session At the company’s annual general meeting, Wingefors described the decision to close studios like Saints Row and Campfire Cabal as “Difficult from many points of view“.
He also commented on cutting other companies like Crystal Dynamics, Rainbow Studios, and Beamdog, but explained that the company “determined“To carry out the operation.
“Ultimately, we are making decisions to restructure or reduce some teams and there will be some closures.
It is difficult and takes time, but we announced it in June and now we are at the end of September and we are confident of achieving the goals we set for the end of the financial year.“he added.
Games aren’t created alone, but selling studios would be a better investment
Wingfors added that when it comes to cutting costs, there are some outcomes that are more desirable than others, which he suggests he would like to find.”New opportunities for [los empleados afectados]even if it is outside the Embracer Group through divestment at times“.
Whether or not Embracer Group starts selling studios, this is the alternative that many fear, but in the end it is much better than shutting down a video game studio and leaving everyone in the lurch.
At the moment, we don’t know if they will continue to keep this intention in mind The studio that created the Borderlands saga has been sold. After all, opinions come and go in a market as volatile as video games.
The Swedish multinational acquired Gearbox in 2021 following a purchase agreement for the studio for a total of $1.38 billion.
Speaking further about this potential divestment, Wingefors said that there is currently “Strong and vibrant market“With so many active players, it suggests that the company may have more luck trying to sell its products.”Higher value assets.
It’s easier to implement the right processes for higher value assets than it is for smaller assets, and I think that’s what we’ve seen now as well“.
This restructuring program will continue to be delivered by Embracer alongside news of its studies, however, when the company publishes its second quarter progress report on November 16, 2023.
it’s clear, Embracer Group was not going to end the study debacle and confirm more closures on the horizon; Let’s hope everything returns to normal for workers.
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