Xbox Gaming in South Africa

During the Electronic Arts Q2 2009 Earnings Conference Call, John Riccitiello (CEO of EA) announced that EA will be reducing their current workforce by approximately 6% or around 600 employees. Even though net revenue is up from $640 million to $894 million, EA reported a $310 million net loss, which is nearly double that of the same period last year.

Given the uncertain economic environment and the ever present need to drive greater efficiencies, earlier today we announced that we are reducing headcount. We are taking costs out – both now and as we progress thru our FY10 planning. We’ve made the decision to eliminate positions totaling approximately 6% of our current workforce and will manage headcount additions rigorously.

The gaming industry has been resilient in the past to economic slowdowns, but as companies try to keep their overheads down and profit up, layoffs will increase. It doesn't look like any specific studio will be affected, but rather across the board.