EA announces cuts

Soldato
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After a 31% decrease in revenue from the last quarter of 2005, EA has announced a cutback of about 5% on its developer workforce in the US, as part of a "global re-evaluation", implying possibly more cuts. They've also cut prices on a range of fairly recent big-name games, including NFS:MW, in response to slow sales.

Just some trimming, the start of the decline for EA, or just a result of a general slowdown in the market?

I think some consumers have finally begun to grow bored with the endless rehashes that EA pumps out, and their list of titles for the end of last year didn't really have anything particularly stand-out in there. Games like Pro Evo have also begun to seriously eat away at the sales on the FIFA series too. A couple of titles ago, PES was a distinct second, but both games are now neck-and-neck in the charts, with PES even having the slightest of advantages. It might be time for EA to actually get down and really analyse each title to see where it's going wrong. That, and advertise the crap out of them like they used to.

Although they're hardly likely to go bust any time soon, a games industry without EA isn't neccesarily as great as many of you might think. As much as a lot of people dislike the company, they control nearly a quarter of the western games market, especially console wise, employ a hell of a lot of people, and are an excellent choice for small company developers who need a large-scale, well-funded publisher with a good distribution base. Nearly every publisher was willing to do a deal with Valve after the success of Half-Life 2, and they chose EA for a reason. they're a big part of the industry, and contribute a hell of a lot to the growth that games have undergone. The poor sales on the Gamecube over here were often (quite fairly) attributed to the lack of third-party support by the likes of EA, and they still hold a lot of sway, especially in the eyes of casual gamers who buy only the odd game here and there.

Thoughts?
 
It may do them good to re-evaluate things. Although I've got no dislike of EA (imo they've developed and published some good games in the past), they could do with rethinking a few things. Be nice to see a bit more innovation from them rather than just churning out more FIFAs. They've got great potential to make FIFA as good, if not better than PES, if they wanted to, they're just getting complacement with sales.
A shake up will hopefully change this and it's got to be good for the gamer in the long run if this happens.

Pity for the people who've lost their jobs though.
 
people are always the first to go, instead of improving the quality of there product its easier to kick people out the door, its nothing new in any industry
 
sad aint it :( surely people in charge there new they couldnt keep making the same games but given them diff titles it soon gets boring and a bit tedious.

May have some decent games out then, tbh since having my 360 i havent touched my PC and i spent £700 on it just 4 months back. Main reason is the total lack of decent games out! I know EA dont make every game but tbh i havent played a decent PC game for a while now.
 
Swings and roundabouts. Soon they will release some killer apps and the next thing they will be expanding again. For example a new C&C, battlefield, far cry or the sims.

They must be the biggest dev and publisher out there, it wont be long till they hit gold again.
 
Haly said:
Pity for the people who've lost their jobs though.
Aye, especially given how much some of those people have to given up to work for EA. Their work shifts towards the end of a games production are vicious. 12-hour plus shifts aren't nice, but from all reports a lot of people have done them in order to get games out on release date. Plus there were a fair few small developer companies that were turning over fairly well before getting bought out by EA, and they now face the chop for something that's probably not their fault.

That said, with the state of things at the moment, I'd imagine that it won't be too hard for them to get new work, since the market is still growing well, just slightly slower than expected.
 
yeah lets not mention madden 06 Which only sold 1.7 million copies in its first week.
To be honest they probably should look at things, i am surprised they havent officially split yet, would probably do them some good.
Some companies just get too big and worry too much about the margins, which they are legally obliged to do for there shareholders.
I say its nothing to worry about, they probably have that much staff left over from all the wee companies they acquired. Although some of the bigger publishers/developers might follow suit and get some pre emptive cuts in just the same
 
The reason for these cuts are that they made only 1.27 Billion dollors last year



WTF isnt that enough :mad:
 
JUMPURS said:
yeah lets not mention madden 06 Which only sold 1.7 million copies in its first week.

I thought this was in regards to EA UK? Is it worldwide? If so, then obviously Madden shifts copies like no tomorrow.
 
NokkonWud said:
I thought this was in regards to EA UK? Is it worldwide? If so, then obviously Madden shifts copies like no tomorrow.


I'd have thought the first line of the article would have told you it wasn't the UK
cutback of about 5% on its developer workforce in the US,
;)


I don't mind EA games, quite enjoy some of their sports titles and since they are the only ones with the license to NFL then they will always do well with that franchise no matter how good the game is
 
Smit said:
I'd have thought the first line of the article would have told you it wasn't the UK ;)


I don't mind EA games, quite enjoy some of their sports titles and since they are the only ones with the license to NFL then they will always do well with that franchise no matter how good the game is

Thats the EA Sports licenses crown Jewel, it's pride and joy and as a result, always of a higher quality to it's other licenses which are rather lacklustre (apart from some NBA titles - though, the new one has less features it's my favourite yet).
 
EA are scum (this does not include their poor talented workers), just do a search for websites/blogs made by ex-employees etc. If Satan ran a company it would EA. They treat most their staff like condoms, they are used for a short while before being discarded.

EA have published some good games, but thats because they've bought out practically every games company. But they have also released 100's or bad ones , not to mention the 1000's sequels - John Madden 2035 anyone?

Take a look at EA US's board of directors and see what they all did before joining EA, most were lawyers, bankers and financial advisers. All they care about is money.
 
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Haven't EA got a near-monopoly on the US sports titles now? I remember reading something about the ESPN series going down the pan because EA got exclusive rights to the NFL and NHL teams or something. Definitely makes a contrast to losing ground in the football games.
 
I just hope some of this profit loss is due to consumers turning against EA and all the half finished horrid games they produce most of the time, with the exception of a few games they only produce tosh.
 
we got all ea titles for xbox 360 and battlfield 2 plus the addon and need for speed most wanted i would have thought their not struggling that bad. :/
 
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