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Amazon Game Studios Chief and 16,000 Others Sacked

This unexpected round of layoffs at Amazon Game Studios, amidst financial success and a strategic focus shift towards Luna, may signal changes in the gaming division while impacting over 16,000 employees globally.

Marcus Thompson · 2 min read

Mass Layoffs Hit Amazon Global Workforce Again, Including Game Studios; Potential Shift Towards Cloud Gaming?

Amazon implemented a second major round of layoffs this Wednesday, impacting approximately 16,000 employees globally. This follows a previous reduction of 14,000 positions in October. According to an internal email from Beth Galetti, Amazon's VP of Tech and People Services (later made public), the layoffs aim to streamline operations within the company's various projects. These layoffs occur even as Amazon's profits have increased from $15.3 billion last year to $21.2 billion this year. Amazon Game Studios experienced layoffs as well. Following previous staff reductions on the MMORPG New World: Aeternum, these latest layoffs suggest a potential shift in Amazon's gaming strategy. The cuts included Christoph Hartmann, former VP of Amazon Game Studios. Hartmann, a co-founder of 2K Games, joined Amazon in 2018 with the goal of establishing the company as a major force in the gaming industry. His departure underscores this potential shift, with the company possibly moving away from in-house game development to focus more on Amazon Luna, its cloud gaming service.

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