In a recent revelation that reflects an unsettling trend, Media Molecule has announced plans to lay off roughly 20 of its employees. The UK-based developer is the creative force behind iconic titles such as LittleBigPlanet and Dreams. It has an approximate staff count of 135. These layoffs will reduce the workforce by 15 to 20%, resulting in a headcount of 115.
The news came to light when Sports Illustrated’s GLHF reported on an internal meeting on Tuesday, October 24. Media Molecule purportedly called to inform the team about the forthcoming staff reductions. At this time, the exact reasons behind the layoffs remain unclear, with no specific department or role being highlighted as the main target. It is also uncertain whether the employees who will face the cut have been notified yet.
Media Molecule, originally an independent game developer, was acquired by PlayStation in 2010. Since its inception in 2006, the studio has been renowned for its innovative gameplay designs that emphasize user-generated content. This inventive ethos can be seen in their most well-known games. The series’ protagonist, Sackboy, even became the face of the PlayStation brand, serving as a pseudo-mascot during the PS3 era, although his most recent outings haven’t exactly gone well.
In 2020, the studio launched Dreams, a unique sandbox title that allowed users to create and share their own design. Its robust game creation tools and a slew of impressive player-generated content wasn’t enough, however. Dreams failed to achieve the financial success its developers might have hoped for. Subsequently, Media Molecule announced in April that they would cease live support for the game, which happened last month.
This cessation of support for Dreams doesn’t mean the end of the game’s lifecycle. The players can still enjoy Dreams as it is and even add to it, albeit with a 5GB storage limit for new creations. Concurrently, Media Molecule confirmed that it was channeling its energies into a new, as-of-yet undisclosed project. The specifics of this new venture remain under wraps.
The unfortunate news from Media Molecule is, unfortunately, not an isolated incident. Numerous gaming studios, both large and small, have faced layoffs this year. Microsoft made headlines in January by laying off 10,000 employees during its acquisition of Activision Blizzard. Other renowned studios, such as Naughty Dog, Striking Distance Studios, BioWare, and Telltale Games, have also experienced staff cuts.
This wave of layoffs, though startling, is not restricted to the gaming industry. Several renowned companies, spanning different sectors and sizes, have undergone similar workforce reductions. Notable names in the list include Epic Games, which cut almost 900 jobs; GTA parent company Take-Two; and Embracer Group, which announced studio closures and layoffs.
Such extensive layoffs raise pressing concerns about the broader health and future direction of the gaming industry. It’s particularly disconcerting when the affected studios, like Media Molecule, have been responsible for some of the most innovative and beloved titles in recent gaming history. While the reasons for each company’s layoffs may differ, the overarching trend suggests an industry grappling with significant challenges.
As of now, both Sony and Media Molecule have not provided an official statement regarding the reported layoffs. The larger community awaits further clarity and hopes for a resilient industry that can adapt and thrive despite these setbacks.
