Skydance Games has confirmed layoffs across its video game division, just over a month after the merger that brought Warner Bros. under the same roof as Paramount.
Reports of cuts first surfaced over the weekend when staff from the recently formed Paramount Games Studio posted that they had been let go. Skydance then confirmed the layoffs in a statement to Variety on Monday, although it did not say how many people were affected.
"As part of our ongoing efforts to position Skydance Games for long-term growth and success, we are implementing reorganization and operational shifts across a few areas of our business," a Skydance spokesperson said. "We have stepped back and taken some time to consider where we are investing our efforts and have made the difficult decision to scale down some of our projects. As a result, there are roles impacted."
At least 25 to 30 roles affected
Insider Gaming reported that at least 30 people lost their jobs and that the real figure is believed to be higher. Lead engineer David Vera named around 25 affected colleagues in a LinkedIn post, a list TheWrap said covers producers, writers, engineers, audio and level designers, and a range of artists. Senior gameplay programmer Rebecca Vessal said she kept her job but that most of her team had been let go.
According to Insider Gaming, none of the affected staff so far appear to come from the former Warner Bros. Games studios.
A much bigger games group
On 6 October, Skydance combined Paramount Games Studio with Warner Bros. Games' internal developers, including Hogwarts Legacy maker Avalanche Software, NetherRealm Studios, Rocksteady Studios, TT Games and the WB Games teams in Montreal and Boston. Tony Driscoll was put in charge of the combined games and experiences unit, which now oversees properties from Star Trek and SpongeBob SquarePants to Harry Potter, Mortal Kombat and the DC Universe.
The wider company is chasing at least $6 billion in cost savings after the deal, TheWrap reported, and has offered voluntary buyouts to some employees. The games cuts land on the same day that James Gunn and Peter Safran stepped down at DC Studios, another sign of how quickly the new owners are reshaping the business.
Skydance has not said which projects are being scaled down.
