Epic Video games’ latest layoffs reached the Bay Space, together with distant staff in San Francisco, in line with newly filed state notices detailing the California impression of cuts the corporate disclosed final month.
Filings from Thursday present the “Fortnite” maker reported everlasting layoffs affecting 16 workers in Marin County and 28 San Francisco-based distant staff. In addition they record 28 layoffs in San Diego County, together with 61 distant workers in Los Angeles and two in El Segundo. All record an efficient date of March 27, in line with the California Employment Improvement Division.
Epic Video games, based in 1991, is the corporate behind the hit sport “Fortnite,” some of the well-liked titles on this planet. It additionally develops Unreal Engine, broadly used software program for video video games, movie and different digital media.
The notices supply the clearest breakdown but of how Epic’s job cuts have been distributed in California after the corporate stated in March it will lay off greater than 1,000 workers globally.
In a March 24 memo to employees, CEO Tim Sweeney wrote, “I’m sorry we’re right here once more.”
Sweeney stated the cuts have been pushed by a decline in engagement with “Fortnite,” the corporate’s flagship sport.
“The downturn in Fortnite engagement that began in 2025 means we’re spending considerably greater than we’re making, and we now have to make main cuts to maintain the corporate funded,” he wrote.
He stated the layoffs, together with “over $500 million of recognized price financial savings in contracting, advertising and marketing, and shutting some open roles,” would put the corporate “in a extra steady place.”
Sweeney additionally pointed to broader business pressures, together with “slower progress, weaker spending, and more durable price economics,” whereas acknowledging company-specific challenges.
“Regardless of Fortnite remaining some of the profitable video games on this planet, we’ve had challenges delivering constant Fortnite magic with each season,” he wrote.
He added, “Because it’s a factor now, I ought to be aware that the layoffs aren’t associated to AI.”
In keeping with the memo, affected staff will obtain not less than 4 months of base pay, together with prolonged well being protection and accelerated inventory vesting.
Epic beforehand laid off 830 staff in 2023 and offered Bandcamp, the Oakland-based music distributor, lower than two years after buying it.