Epic Games Trims Workforce by 16% Due to Unrealistic Metaverse | CRYPTOLOGY

Epic Games Trims Workforce by 16% Due to Unrealistic Metaverse Revenue Projections

Epic Games, the creator of Battle Royale Smash, Fortnite, is cutting off approximately 830 staff, or 16% of its workforce, as it looks to reduce its costs and create a viable financial ecosystem for the company.

On Thursday, CEO Tim Sweeney confirmed this in a memo later in a blog post. He attributed the cause to be due to overspending “ way more than they earn” and their unrealistic expectations from metaverse-inspired revenue.

“For a while now, we’ve been spending way more money than we earn, investing in the next evolution of Epic and growing Fortnite as a metaverse-inspired ecosystem for creators.”

Tim Sweeney stated that Epic, the Unreal Engine development platform, has been actively implementing cost-saving measures in areas such as marketing and events. However, he emphasized that despite these efforts, layoffs were deemed necessary to achieve financial stability.