Sony to Cut 900 Jobs from PlayStation Division, Equaling 8% of Unit’s Global Workforce
Sony Entertainment announced Tuesday that it will lay off nearly 900 people from its PlayStation site, or about 8% of its global workforce, as part of a major restructuring. The move reflects a growing trend in the tech industry, with many companies recently announcing similar measures.
In an email sent to employees, PlayStation Division President and CEO Jim Ryan emphasized the necessity of these changes for the company’s continued growth and development. He said the decision came after months of discussion and leadership.
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The cancellation will affect employees in all regions, with PlayStation London and many other studios facing major disruptions due to complete closures. The change in strategy comes shortly after Sony revised its sales forecasts for the PlayStation 5 console on February 14, citing low demand. The company expects to sell 21 million units by the end of the fiscal year in March, below the initial estimate of about 25 million units.
After this cut, Sony’s stock price dropped significantly. Market analysts predict that Sony may release an update for PlayStation 5 to increase consumer interest in the platform.
Sony’s reviews are about the latest releases in the technology industry. In January, Microsoft announced that it would lay off 9% of the workforce in its gaming division after acquiring Activision Blizzard. Additionally, both Cisco and DocuSign announced plans to improve operations, including decommissioning, as part of the restructuring plan.
