Riot Games, the creator of the widely popular multiplayer game “League of Legends,” has announced a significant layoff, cutting 11% of its workforce. The decision, affecting 530 jobs, aims to refocus the company and ensure a sustainable future. In a statement to staff, CEO Dylan Jadeja and co-founder Marc Merrill emphasized that the move is not driven by shareholder appeasement or meeting quarterly earnings targets but is deemed a necessary step. Riot Games, owned by Chinese tech giant Tencent, attributes the restructuring to an overexpansion across various areas, prompting a need to streamline operations and concentrate efforts on game development.
This strategic move follows a trend in the tech industry, where various companies have initiated layoffs to optimize their operations and enhance efficiency. Riot Games acknowledges that its rapid staff expansion over the past few years has led to a need for a more focused approach. The decision aligns with the company’s commitment to ensuring long-term sustainability rather than short-term gains. Riot Games aims to maintain its standing in the competitive gaming industry by consolidating efforts and resources.
The note to customers underscores the company’s dedication to making decisions based on long-term viability rather than immediate financial concerns. Riot Games emphasizes that the restructuring is imperative to create a more sustainable future, signaling a shift in focus and strategic priorities. As the gaming industry continues to evolve, Riot Games seeks to adapt by streamlining its workforce and concentrating on core game development, ensuring it remains a key player in the gaming landscape.
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