The Japanese multinational video game maker announced widespread layoffs affecting Sega Europe and studios like Creative Assembly and Hardlight.
Sega has sold Relic Entertainment and will shed 240 staff across its European studios, including Sega Europe, Creative Assembly, and Hardlight. Creative Assembly and Hardlight are known for creating Total War and Sonic Dream Team. Jurgen Post, the director of Sega Europe, emailed the staff this morning to inform them of the cuts and the sale of Relic Entertainment, which developed Dawn of War and Company of Heroes.
The layoffs affected approximately 240 Creative Assembly, Hardlight, and Sega Europe employees. However, the email did not mention Two Point Studios and Sports Interactive, two other studios owned by Sega Europe.
Most job losses will occur at Creative Assembly at the publisher’s Sega Europe office. Sega Europe laid off 121 Relic Entertainment employees in May 2023. Later in September, Sega canceled Creative Assembly’s multiplayer extraction shooter ‘Hyenas.’ A few jobs will be affected at Sega Hardlight, another UK-based studio and the developer behind the mobile game Sonic Dream Team.
In an official statement, Sega explained the adjustments to a “rapidly changing” financial environment this morning. This comprised a “reactionary decline from the stay-at-home demand in Covid-19 and the economic downturn due to inflation,” which translates to “profitability has been lowered.”
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