Activision Blizzard, one of the largest video game companies, announced plans to release 8%. employees from nearly 10,000 employed. The company is a victim of the so-called Fortnite effect.
Activision Blizzard, which owns such titles as “Call of Duty”, “World of Warcraft”, “Diablo” or “Overwatch”, is one of several game producers who
Although Activision Blizzard recorded record sales in the fourth quarter of 2018 and throughout the previous year, president Robert Kotick noted that the results did not meet the company’s expectations.
We did not implement the plans to the extent that we expected in 2018, and our current outlook for 2019 falls below what is possible to achieve in the industry. We have not achieved the objectives regarding the reach, involvement
andinvestment of the players we have set ourselves –
The company expects this year to be temporary and the sale of games will not increase as quickly as expected. The company will have to make significant changes to achieve long-term goals. Reduction of jobs will include support staff and staff dealing with less popular titles.
The same issued Electronic Arts has. After reveling last quater financial resulats, which were much below expectation its stock price decrease more than 13%. This is also a result of “Fortnite” popularity which is still growing. Now Apex Legeds which was released on 4th of February may change this trend.