SOE Closes Three Studios, Lays Off One-Third of Workforce
As first reported by Kotaku.com:
Sony Online Entertainment, makers of D.C. Universe Online and Free Realms, closed three studios and will lay off nearly a third of its workforce, Kotaku has learned.
Word began spreading when George Broussard, best known as the co-creator of Duke Nukem Forever, tweeted earlier this evening that SOE was seeing layoffs and “studio closure is possible.” Kotaku has confirmed through a source familiar with the matter that the closures affect SOE’s studios in Seattle, Tucson, Ariz. and Denver. Half of the workforce at SOE offices in Austin, Texas were pink slipped along with a sizeable portion of San Diego. In sum, it accounts for nearly one-third of SOE’s manpower before today.
Kotaku has reached out to Sony Online Entertainment for official comment.
Sony’s MMO Makers Close Three Studios, Lay Off One-Third of Workforce @ Kotaku
With the faltering FreeRealms now a huge drag on the SOE profit-and-loss report, and no sign of The Agency, a lot rests on EverQuest 2, DC Universe Online, and a growing gaggle of Facebook games. I wouldn’t be surprised if EQNext make a big splash at Fan Faire.
UPDATE: Kotaku has a second source confirming this news.
UPDATE: Sites around the web carrying this article:
- SOE to close The Agency studio | Massively
- Doomsday for Sony Online Entertainment — PC World
- Joystiq – Report: Three SOE Studios Close, Layoffs Abound
Notably, SOE Seattle has been the lead development studio of The Agency, which had been slated to launch in the second half of the year (after a long delay). Neither SOE Denver nor Tucson has been working on anything as high profile as The Agency, though both have continued to operate a number of SOE titles, including Denver’s Legends Of Norrath and other digital card games, and Tucson’s PoxNora strategy game.
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Comments (20)
Etruscus
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My thread:
http://forums.station.sony.com/eq2/posts/list.m?topic_id=498322
was locked. “SOE won’t discuss rumors.”
Which in my mind means it’s most likely true.
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AlienShine
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Ye it’s true.
I always thought FreeReals was doing very whell. Of course that is based on SOE statements.
Let’s hope EQ3 fixes those financial problems for them !
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Macklin
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If you have Smokeblower as a producer of EQNext and Silius as a Itemization dev EQNext is in deep trouble before it even starts. And if Sony does not stop listening to a minority of the players on major changes they will continue to receive major backlash from their player base.
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Anaogi
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They’ve been getting that backlash for ages, that’s why Rift took off like gangbusters. Lots of folks have been looking at it as a ‘second home’, or a new one, including entire guilds…
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MacLeod
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Its a shame… when it launched, FreeRealms was actually a fun diversion, and despite being “kiddified”, was enjoyable. Then they made it all into a one-click does everything combat game and added “features” that made actual exploration pointless and it lost any sense of enjoyment that someone over 5 might get from it (which, you have to assume is a big part of their “paying” customer base.) That, and they never released any of the “coming soon” areas they promised since launch. Pretty much after the 9 months from launch, any content was all visual cash store items.
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pkudude99
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I canceled my EQ2 sub earlier this month in favor of Rift, in spite of shelling out $60 for the digital CE of the expansion. I plan to be back in 6 months or so, so I don’t feel I’ve wasted my money on the expansion, but for now, Rift is my “new shiny.”
I wouldn’t be surprised if I’m not the only one. Most people I talk to in Rift are former WoW players, but I’ve run across quite a few EQ2 ones as well.
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fozzy
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Star Wars Knights of the Old Republic will kill them all.
http://www.swtor.com/
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Atan
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I can confirm layoffs in Austin.
I do not yet have any information pertaining to the EQ2 team.
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Deisel
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LoL. No disrespect but after 12 years of eq and eq2 you learn there will always be games coming and going trying to come up with that next take over game. Those games are no different then a hot playstation title that dies out in 6 months. The fun in everquest has always been playing through and overcoming the top content. Alot of you crybabies could have never played eq1. Everything Is too hard or your gear always needs to be changed to help you accomplish something. Take the time to figure out a way to get it done. That’s Everquest!!!!!
Deisel
” if you ain’t dying, you ain’t trying “
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Kwill
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A little bird told me they are looking for someone to rent their office space in Austin. That’s not a good sign!
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Murfalad
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Rift has a lot of WoW players for a good reason, its gameplay systems are designed to be very similar and familiar to such players to attract them, as a former WoW player myself though I’d rather play the real thing.
Ouch, bad news for SOE, I hope this does not include the EQ2 team in the layoffs since they have been doing good stuff, especially the past year or so where things got a bit stale in the gameplay department.
The only possible good news I could see here would be the Agency being no longer a drag on EQ2’s revenue, although having it release later this year would be a better option if it meant some return on the millions of dollars spent there.
Whatever happens though is sort of irrelevant if the plan at the top is to just release new game after new game, Smedley mentioned earlier this year the success of Eve, they have a hell of a good design team but I’d like to see actions in top management matched to words though.
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alienshine
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Nah SWToR won´t be it for me. A whopping 4 classes, hahahah.
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Neevah
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It looks like Sony has taken a page out of EA’s playbook and done an end-of-the-quarter employee purge. Good luck to those who have lost their jobs.
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Feldon
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SmokeJumper posted this on the forums:
That sounds oceans away from a flat denial.
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Feldon
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Apparently, SOE Employees are finding out this news from the press, rather than their bosses. 🙁
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Atan
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I’m hearing the same thing Feldon =/
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Epivaso
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I guess too many customers have been jumping ship when Rift came out..
I know I did.
I feel bad for the many excellent developers that SOE still has (had?).
I personally think there is a big problem at SOE and it is not with the footsoldiers who try their best but they have the WORST management of the big MMO studios bar none.
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Feldon
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I heard people abandoned Legends of Norrath in droves when they obsoleted old packs. That’s a trick that Magic the Gathering were able to get away with. I guess not so with SOE.
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Murfalad
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Bah, I really don’t think Rift has anything to do with it, when its first weeks sales were ~127k and mostly in the US its a long long way from the mega hit that AoC was even.
I do think though that the poor gameplay and inability to grapple with the itemisation/mechanics that drive the gameplay though were a big factor (I’m looking at you Brenlo with the gear degredation being pulled on the Eve of an expac). It remains to be seen if Smedley and SOE are going to keep faith with EQ2 or pin their hopes on EQNext, so far they’ve at least shown the former with facebook games, mobile phone apps etc.
I know for myself that I have currently zero interest in yet another MMO, particulary EQNext.
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Mr_Skyfish
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And I finally got my chest piece from the Public Quest today now does this mean that my EQ2 will fail soon too lol
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