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Disney's Video Game Studios Hit With Mass Layoffs

Nikole
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Posted January 24, 2011 - By Nikole Zivalich






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Disney's Video Game Studios Hit With Mass LayoffsDisney Interactive Media Group has laid off a "significant" portion of its gaming studio employees. Sources close to CNBC say as many 350 people have been let go, half of their 700 employee workforce. We don't know how many of their eight studios have been affected. Reports are indicating there were "minimal" layoffs at Disney Epic Mickey's developer Junction Point Studios. The status of Black Rock Studios is unknown. Disney has not yet released a statement. 

Junction Point and Warren Spector were responsible for Disney Epic Mickey which debuted at number 6 on December's NPD chart and received a 5/5 here at G4. Black Rock Studios developed Split/Second which was met with mixed reviews. 

This news follows the announcement that Vancouver-based Propoganda Games had been shut down last week. They were responsible for last year's Tron: Evolution. Propaganda employed 70 people. Disney has undergone several changes since they acquired Playdom, a social media developer, for $563 million. 

Since so few details have been confirmed we're not sure how many people have been affected. I do wonder why Disney seems to be closing studios and laying people off one week at a time rather than all at once? 

Update: A Disney representative has confirmed to us that the number of people affected by the layoffs was less than the reported 350 employees. 

Source: CNBC

Tags: Videogames
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