Take-Two Interactive will lay off five per cent of its staff by the end of 2024.
Take-Two Interactive will lay off five per cent of its staff by the end of 2024
The company - which owns studios like ‘Grand Theft Auto’ developer Rockstar Games - announced on Tuesday (16.04.24) that it would be axing almost 600 jobs as part of cost-cutting measures.
In an SEC filing which was found by GamesIndustry.biz, the publisher wrote: "As part of these efforts, the company is rationalising its pipeline and eliminating several projects in development and streamlining its organizational structure, which will eliminate headcount and reduce future hiring needs."
Take-Two expects to incur between $160 million and $200 million in total charges due to this restructuring programme, with approximately $15 million to $25 million related to employee and severance costs.
The development comes just weeks after the company’s CEO Strauss Zelnick insisted Take-Two had "no current plans" to reduce their employee headcount and were "currently working on a significant cost reduction program across our entire business to maximise our margins".
He told IGN: "I would just note that our biggest line item of expense is actually marketing. We do think we can optimise that.
"We also have third-party expenses, software, other vendors, supply services. And we always find opportunity there. The hardest thing to do is to lay off colleagues, and we have no current plans."