SCi to cut jobs, cans 14 projects News
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SCi, parent company of Tomb Raider publisher Eidos, has said that is plans to cut jobs as part of a radical restructuring plan, GamesIndustry.biz reports.
The company plans to operate at a maximum head count of 800, a reduction of 25 per cent, while the board has decided to cancel 14 projects currently under way as they will not generate an acceptable return on investment or are not of sufficient quality.
"Following our business review over the last six weeks, we are initiating a clear action plan based on three fundamental strands of activity: a radical change in our structure to a studio-led business, a top to bottom programme of product improvement and efficiency and a considerable cost reduction plan," commented Phil Rogers, CEO of the company.
"To get SCi on track we have to act rapidly and effect change quickly. We must allow the world-class people that we have within the Group to focus on strong, profitable titles which will create the value our shareholders deserve.
"I am confident our staff share this vision and excitement for the future, and determination to build a working environment where our innovation and creativity can be commercially realised," he added.
The company plans to switch from a centrally controlled development and publishing model to a studio-lead business focusing on its core products - Tomb Raider, Hitman, Championship Manager and Deus Ex.
New media and casual gaming will be fused under the Eidos Play brand, and the group will move its production services - which includes localisation and QA - from London to Montreal to take advantage of the lower cost environment.
The firm says it intends to cut annual operating costs by GBP 14 million by the end of June 2008 at a one off cost of GBP 7 million.
"Our quality has slipped below acceptable standards and, through disappointing game development and working within an ineffective operating structure, we are failing to realise the commercial return our creative ability and our shareholders demand," said the company. "Our infrastructure is too big and expensive for the scale of the business."
SCi also indicated that it would consider any acquisition offers for the company, although it is not actively seeking offers.
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Comments: 1-21 of 21 in total
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OK, so what can we cut from the project roadmap?
How about all those PS3 ports of the XBox360 games? Oh, that's a brilliant idea! Good thinking! Great, any other business? [silence in the board meeting] Right then, I hereby conclude this meeting. Thank you all for attending and your big fat bonuses are in the post. |
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Jigglybean
29/02/08 @ 10:01
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Sorry to hear this. I started out at SCi - before buying Eidos, it was a fun place to work. Good luck to all the staff. We are looking for QA, Artists, community staff. Ping me a private PM if any of you are interested. Based in the midlands. Oh and i am not an agency! lol
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lordYaffle
29/02/08 @ 10:08
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Was a good company to work for, spent 3 years in the QA department.
Best wishes go out to my friends who lost their jobs. |
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The most worrying thing (apart from the job loses) is that they are moving to Canada. When will the British government realise that the UK games industry is getting totally screwed over by the tax breaks afforded to companies in Canada.
They do - their response is to launch a long, convoluted and ultimately-to-fail complaint with the WTO. Y'know, rather than make a sensible economic investment in an industry which the UK have long been pioneers in. (I wonder if, in their infinite stupidity, the government are worried about the likes of the Daily Mail highlighting any financial support for the gaming industry as 'helping violent killing simulators be built' or some other nonsensical bullplop) |
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Going by reviews/sales of it's latest game this rumour may have some foundation...
http://www.developmag.com/news/29387/Piv... |
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MrChuckles
29/02/08 @ 10:34
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Phew, went for a job interview there last year, luckily it wasn't my thang.
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Megapocalypse
29/02/08 @ 11:38
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Spent 3/5 years in QA with Eidos. A lot of good people there. Those are some heavy cuts. :(
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Jigglybean
29/02/08 @ 11:54
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SCi also indicated that it would consider any acquisition offers for the company, although it is not actively seeking offers come get us EA?
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I spent a few years in the QA dept in Southampton and London. Not sure who still works there nowadays but I wish them all the best of luck. I'm actually surprised this hadn't happened already as there was always talk of job cuts when I was there. Gutted.. I expect most people thought getting rid of Bill and Jane would have saved them their jobs.
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Clive Dunn
29/02/08 @ 12:03
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Thoughts to the staff, must be a rough time for them.
Get the feeling this is too little, too late though. |
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CaptianScarlet
29/02/08 @ 13:01
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Also, pity the poor small scale development houses that suddenly find their projects canceled and have to shut their doors. There are ripples from this that may affect hundreds more jobs.
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Comments: 1-21 of 21 in total
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