PlayStation Hit With More Layoffs, This Time On The Software Front

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The Flurry Of Layoffs Is Not Stopping Anytime Soon.

Story Highlight
  • PlayStation has laid off multiple people, according to posts on social media.
  • The layoffs happened in the software department that works on previous consoles.
  • These layoffs come only a few months after the Japanese giant fired people back in September.

The gaming industry had a tough 2024 concerning job security with many studios closing down or laying hundreds of people off. One of the gaming world’s biggest forces, PlayStation, has also been affected by the current economic climate, as the Japanese giant shut down Firewalk after the failure of Concord.

Many were hoping things would improve with the dawn of 2025, but it seems like the layoffs are going to continue this year. Developers on social media have revealed that Sony fired multiple people recently, continuing this flurry of layoffs.

Why This Matters: One of gaming’s most profitable companies firing people is not a good sign for the overall health of the industry.

PlayStation Layoffs
PlayStation has had another round of layoffs

Ryosuke on Mastadon first broke this unfortunate news, saying that most of his team was cut by PlayStation. And, by his job description, it sounds like most of these layoffs have happened in the software department of the company.

The developer and his team contributed to the development of PlayStation 5, PS Portal, PSVR2, and the PlayStation app among many others.

The last round of layoffs at PlayStation happened back in September, only a few months after firing hundreds of people in February 2024. The Japanese giant also shut down Deviation Games last year, putting an end to one of its most promising developers. 

PlayStation Concord
The failure of Concord and the company’s live service push has led to many casualties

It seems like a lot of these layoffs are because of bad decision-making on Sony’s part, especially their failed live service push that has crumbled to nothingness. However, the PlayStation 5 sales have been largely unaffected with the console tracking ahead of its predecessor in the US.

Layoffs have been rampant in the industry, with Xbox and Rocksteady both being affected by them quite recently. Unless you work for Nintendo, job security is a myth in the gaming world nowadays.

Do you think employees are paying the price for Sony’s unfruitful live service scheme? Tell us in the comments below or head to the Tech4Gamers forum for discussion.

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