With rumors having started about a massive layoff started a few days back, today Activision Blizzard confirmed that it is cutting away around 8% of its global workforce, around 800 headcount. This news came despite Activision Blizzard announcing the financial results for 2018 were “the best in our history”, although the numbers “didn’t realize our full potential”, mentioned CEO Bobby Kotick. We have summarized some key highlights below.
• The layoffs will impact all subsidiaries, including Activision, Blizzard, and mobile studio King.
• It was claimed that manpower for key projects will increase by 20% by the end of 2019, including Call of Duty, Candy Crush, Overwatch, Warcraft, Hearthstone and Diablo.
• Most of the layoffs will be from non-development and administrative roles.
• CEO Bobby Kotick also mentioned that in order to fulfill the company’s “potential”, “a number of important leadership changes” have been made.
• Activision Blizzard claims that those affected by the layoffs will receive “a comprehensive severance package”, along with “job assistance and a profit-sharing bonus.”
• The layoffs came despite Activision Blizzard’s net revenues for 2018 being a record USD 7.5 billion.