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(Correction: no layoffs planned) EA plans to cut 1,000 jobs, close at least nine offices


The struggling economy is finally hitting the video game industry, and hard. EA is preparing to undertake some rather drastic cost-cutting measures, including laying off 1,000 workers. That number represents 10 percent of its total employees, a large enough chunk that several titles and franchises will be getting the ax as well. To further slash costs, EA will be closing at least nine facilities across the globe and condense its teams into fewer offices. Most of the specifics have not been released, but we do know that Black Box Studio (responsible for the Need for Speed series) will move from Vancouver to a location in Burnaby, British Columbia. All told EA expects to save about $120 million a year thanks to the layoffs and closings, but how much that will actually helps its bottom line remains to be seen.

Correction: We regret any confusion caused by this story. It was based on old information and never should have been published. To our knowledge there are currently no plans for additional layoffs or office closures at Electronic Arts. Our sincerest apologies to our readers and EA for any trouble caused by its publication.

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