Amazon Games Faces Layoffs, Pauses Major AAA Projects
Amazon Games is undergoing significant changes amid recent layoffs affecting 14,000 employees across the company. This restructuring also impacts its video game division, hinting at a strategic pivot in its development approach.
Major Layoffs and Strategy Shift
Following an overall reduction of staff, Amazon Game Studios has made an undisclosed number of layoffs. This move aligns with CEO Steve Boom’s message about reassessing the company’s direction in gaming.
Key Developments in Gaming
- Amazon launched its new cloud-gaming platform, Luna, featuring a lineup of premium games like “Hogwarts Legacy” and “Indiana Jones and the Great Circle.”
- The company halted much of its first-party AAA game development, particularly for massively multiplayer online games (MMOs).
- Amazon is maintaining partnerships with external studios, including Crystal Dynamics and Maverick Games, to produce upcoming titles.
Amazon is now focusing on “console-friendly titles” and popular intellectual properties instead of MMOs, which cater primarily to hardcore PC gamers. The new strategy seeks to enhance the gaming experience while leveraging Amazon’s strengths.
Future of Amazon Games
Steve Boom indicated that Amazon will continue developing engaging gaming experiences for players. The relaunch of Luna exemplifies this commitment, showcasing both social party games and blockbuster titles.
Amazon’s Montreal game studio is finalizing “March of Giants,” while the team behind the Luna title “Courtroom Chaos: Starring Snoop Dogg” will shift their focus to more casual and AI-driven games.
Despite the current challenges, Amazon Games aims to adapt and thrive in a competitive landscape. The company believes these adjustments will lead to impactful gaming experiences that align with its brand identity.
