Amazon has reportedly made its second round of layoffs within its gaming division, with 180 jobs being impacted.
According to Reuters, Christoph Hartmann, vice president of Amazon Games said in a memo to his staff on 13 November, that after Amazon Games' initial restructuring in April, the company needed to focus its resources even more on the areas that are growing with the highest potential to drive the business forward.
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Amazon's games division provides downloadable versions of various video games, as well as some Twitch channels and other services. As part of the restructuring, the company will shut down its Game Growth and Crown Channel initiatives. It will remain focused on launching and developing upcoming games such as “Throne and Liberty”, "Tomb Raider", "The Lord of the Rings" and “Blue Protocol,” as well as free games provided within Prime Gaming.
Hartmann also said in the employee notice that the decision to refocus to Prime Gaming was a result of the feedback from its customers, indicating that there is a demand for the free games that are available each month. Therefore, the company will also look to refine their services under Prime Gaming.
Hartmann added in the note that this isn’t a decision the leadership team came to quickly and it was the result of extensive considerations and road mapping for the company's future, according to CNBC.
This comes following the company’s initial restructuring in April earlier this year. More than 100 staff in the Amazon Games division were laid off in the first round of job cuts. According to The Verge, these layoffs comprised employees from Prime Gaming, Game Growth, and the company’s San Diego studio. Amazon has cut thousands of jobs in the past year as well.
MARKETING-INTERACTIVE has reached out to Amazon for a statement.
Most recently, Amazon has decided to shut down its ad-serving business in the fourth quarter of 2024. The delay aims to allow brands and agencies to have enough time to transition themselves onto another ad server and support their employees globally who will be affected by the decision.
Amazon's Ad server is an optional service used by its advertisers. It is used to manage and measure campaigns across platforms and publishers.
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