Take-Two Interactive Software, the video-gaming company that publishes the ‘Grand Theft Auto’ franchise, has trimmed its workforce by five per cent. That means, about 600 of its employees will be rendered jobless. The cost-cutting exercise will cost the company about $200 million. The company had a workforce strength of 11,580 full-time employees as of March 2023.
For gamers, this is disappointing news because this means, the next edition of the popular ‘Gand Theft Auto’ series—which was to be out some time next year— may be delayed further.
The company is planning to discard or cancel some of its games that are in the development stage, to reduce costs. The move is expected to save the company over $165 million annually.
While the gaming industry saw a boom and surge in demand during the pandemic, things have not been as bright post the pandemic. The spending behavior of customers has been inconsistent given the economic uncertainty.
Reports based on research have apparently shown that gamers are spending less time playing. Growth in revenue may, in all probability, will be way lower than pre-pandemic levels for another at least another year or so.
Interestingly, Take-Two is in the process of acquiring Gearbox Software from the Embracer Group.
The New York City-based American video-game holding company was founded by Ryan Brant in 1993. It publishes popular games including Battleborn, BioShock, Borderlands, Evolve, Mafia, Sid Meier’s Civilization, The Darkness, XCOM.
