restructuring
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SCEA lays off 80-100 employees [Update]
Sony's game division was first reported to be undergoing restructuring back in April and now, we're catching word that layoffs have begun. Two months back, only Sony Computer Entertainment Europe (SCEE) was going to have to bear the brunt of restructuring by eliminating up to 160 jobs. Now, word is coming in about 80-100 layoffs from Sony Computer Entertainment America (SCEA). Apparently, much like an "American Idol elimination episode," teams were split amongst between those being asked to leave and those likely asked to take on the other team's workload. Severance packages were provided but no one was asked to "finish out the rest of the day," instead being told to come back after hours or ask management to collect their belongings. SCEA's PR man Dave Karraker, told Kotaku earlier that "it was necessary to analyze our current business and to restructure the company as necessary," which more or less validates the layoffs as a necessity. No official word from SCEA on if more layoffs were planned or what potential gaming fallout may occur from this restructuring.[Update: When asked if PS3 sales were the direct cause of the SCEA layoffs, Dave Karraker declined and said, "this move is not wholly related to any one product in our portfolio." So there you have it.]
Pantech restructuring underway
Sloughing off your CEO, getting in the door in a big way with AT&T, and continuing a focus on crazy design are all positive indicators for a down-but-not-out manufacturer looking to break into the elite Big Five, but at the end of the day, there's nothing like a little cold, hard cash to get things kick-started. To that end, Korea Development Bank has hooked up with a bunch of creditors to provide Pantech with 120 billion won (about $129 million) to get back on its feet with payments deferred through 2011 (can we get hooked up with something like that for our car loan?). Pantech's restructuring will ultimately result in some layoffs, sales of non-critical assets, and a massive share consolidation that'll (somehow) result in the company raising about 151 billion won (about $163 million), while corporate parent Pantech & Curitel will raise another 305 billion won (about $328 million). It's all Greek to us, but as long as it doesn't result in a delay to our low-end 3G love on AT&T, we're cool. Is that too much to ask? [Warning: subscription required]
