EA financial report: WAR did great, layoffs happening anyway
EA released its quarterly financial statements (PDF warning on both that and the Source link) yesterday, and while the typical MMO player will not care about most of the data present, we thought a couple things buried in there were worth mentioning. First of all, EA bragged about the previously-revealed 800,000 subscriber number for Warhammer Online. Madden NFL 09 and Spore also did quite well, but despite those successes, the company still posted a net loss of $310 million.
Possibly as a result, it announced a "cost reduction plan" (doublespeak, anyone?) "which will include the elimination of approximately 6% of the Company's workforce," which Scott Jennings suggests is around 540 people. No details were given about which teams would lose people. We suppose new intellectual properties like Dead Space and Mirror's Edge aren't cheap to develop, and neither is Star Wars: The Old Republic (the existence of which was proudly touted in the report), but it's striking that even amidst sales success by WAR and other titles, the company is still shedding employees.
[Via Broken Toys]
