Electronic Arts has canceled the Star Wars first-person shooter that was in development by Respawn Entertainment. This news came to light following an announcement by EA that it would be reducing its workforce by around 670 people, or 5% of its global staff. This decision marks a significant shift in EA’s strategy, focusing more on its own intellectual properties rather than licensed games.
The decision to pull the plug on the now-canceled project was outlined in a memo from Laura Miele, EA’s president of entertainment, to staff members. Miele expressed regret over the decision but emphasized that it was not a reflection of the development team’s talent or dedication. Instead, EA framed the decision as a strategic realignment towards delivering blockbuster storytelling through iconic franchises that fans are eager to see more of.
As per IGN, the memo suggested a focus on EA’s owned brands was a more sustainable path forward in an industry undergoing rapid changes.
The cancelation is particularly notable given EA’s success with the Star Wars IP in recent years. Star Wars: Jedi, in particular, is igniting talks of a potential crossover into the live-action universe with a third entry in development following the success of the award-winning sequel.
The FPS game, rumored to feature a Mandalorian lead, was part of its broader Star Wars strategy after losing exclusive rights to the IP. Respawn, in particular, was previously the lead studio on at least three Star Wars titles, including a still-unnamed strategy game.
Following the cancelation, EA is reassigning the Star Wars FPS team to other projects, particularly its upcoming pair of licensed superhero games, Iron Man and Black Panther, as well as the third Star Wars: Jedi title.
EA’s decision to cancel the game and lay off a significant portion of its workforce is part of an unfortunate trend. Many video game companies are reassessing their strategies in light of shifting market dynamics, including what EA describes as a growing emphasis on open-world games, live service models, and the challenge of sustaining massive online communities.
EA’s recent actions reflect a cautious approach to investing in licensed properties, which may no longer align with the company’s long-term goals of maximizing profitability and shareholder value.