https://www.reuters.com/legal/litigation/epic-games-said-tuesday-that-it-will-lay-off-more-than-1000-employees-2026-03-24/ Skip to main content Exclusive news, data and analytics for financial market professionals Learn more aboutRefinitiv * World Browse World + Africa + Americas + Asia Pacific + China + Europe + India + Iran War + Israel and Hamas at War + Japan + Middle East + Ukraine and Russia at War + United Kingdom + United States + Reuters NEXT New York * Business Browse Business + Aerospace & Defense + Autos & Transportation + Davos + Energy + Environment + Finance + Healthcare & Pharmaceuticals + Media & Telecom + Retail & Consumer + Future of Health + Future of Money + Take Five + World at Work * Markets Browse Markets + On the Money + Watchlist + Asian Markets + Carbon Markets + Commodities + Currencies + Deals + Emerging Markets + ETFs + European Markets + Funds + Econ World + Global Market Data + Rates & Bonds + Stocks + U.S. Markets + Wealth * Sustainability Browse Sustainability + Boards, Policy & Regulation + Climate & Energy + Land Use & Biodiversity + Society & Equity + Sustainable Finance & Reporting + The Switch + Reuters Impact + COP30 * More Legal + Government + Legal Industry + Litigation + Transactional + US Supreme Court Commentary + Breakingviews + ROI: Reuters Open Interest Technology + Artificial Intelligence + Cybersecurity + Space + Disrupted Investigations Sports + Winter Olympics + Athletics + Baseball + Basketball + Cricket + Cycling + Formula 1 + Golf + NFL + NHL + Soccer + Tennis Science Lifestyle + Culture Current City Memo Graphics + Chart of the Week Pictures Wider Image Podcasts + Reuters World News + Reuters Morning Bid + Reuters Econ World + On Assignment + Viewsroom + The Big View Live Fact Check Video Media Center + Announcements + Awards + Inside the Newsroom + People News Sponsored Content + Reuters Plus + Press Releases Subscribe Epic Games to cut more than 1,000 jobs as 'Fortnite' usage falls By Reuters March 24, 20262:37 PM UTCUpdated ago * * * * * * * * Fortnite installing on Android Fortnite game installing on Android operating system is seen in this illustration taken, May 2, 2021. REUTERS/Dado Ruvic/Illustration Purchase Licensing Rights, opens new tab * Companies * Amazon.com Inc Follow * Electronic Arts Inc Follow March 24 (Reuters) - Epic Games will cut more than 1,000 jobs following a drop in engagement for "Fortnite", the latest layoffs in the video game industry where growth has stalled due to economic uncertainty. The company also expects to save $500 million by reducing contracting and marketing spend and eliminating some open roles, CEO Tim Sweeney said in a note to employees on Tuesday. Sign up here. "We're spending significantly more than we're making, and we have to make major cuts to keep the company funded," he said. Blockbuster titles such as the first-person shooter game "Fortnite" had proven resilient after the pandemic, holding up as a slowdown eroded demand beyond the biggest franchises. But engagement is now declining even for those, particularly live-service games that rely on a constant flow of costly new content to retain players. "We've had challenges delivering consistent Fortnite magic," Sweeney said, adding "market conditions today are the most extreme" since the early days of the company founded in 1991. "The layoffs aren't related to AI," Sweeney noted amid industry fears that the technology could replace developers. Epic had earlier this month raised prices of Fortnite's in-game currency, citing higher costs to run the game. The move marks Epic's second major round of layoffs in three years. In September 2023, the company cut about 830 jobs, or roughly 16% of its workforce, to boost profitability. It was not immediately clear what percentage of staff would be impacted by Tuesday's announcement. Last month, Fortnite topped U.S. monthly active players across PlayStation and Xbox, yet the average playtime fell sharply, according to Mat Piscatella, senior director at Circana. Other gaming companies have also cut jobs. In September, Electronic Arts (EA.O), opens new tab laid off hundreds of workers and canceled a Titanfall game that was in development, according to media reports. Amazon's (AMZN.O), opens new tab broader job cuts late last year also affected its gaming division. Rising memory chip prices have added to the industry's difficulties, as surging demand from artificial intelligence data centers absorbs supply, pushing up semiconductor costs and forcing console makers to raise prices. Reporting by Aditya Soni and Kritika Lamba in Bengaluru; Editing by Tasim Zahid Our Standards: The Thomson Reuters Trust Principles., opens new tab * Suggested Topics: * Litigation * Employee Benefits & Executive Compensation * * * * * Purchase Licensing Rights Read Next / Editor's Picks * agoLegal Industrycategory US music publishers suing Anthropic make their case against AI 'fair use' Illustration shows Anthropic logo * agoGovernmentcategory Baltimore sues Elon Musk's xAI over Grok sexual 'deepfakes' Illustration shows 3D-printed miniature model of Elon Musk and xAI logo * agoGovernmentcategory Judge orders Trump administration to temporarily unfreeze Chicago transit funding A subway train travels down an elevated track on Wabash Avenue in Chicago * agoGovernmentcategory Vail and Alterra ski resorts face consumer class action over lift ticket prices The sign outside the office building housing Vail Resorts is seen in Broomfield, Colorado * agoWorldcategory Jury in social media addiction trial tells judge it's having difficulty coming to consensus Illustration shows Instagram app * March 23, 2026Governmentcategory Google fends off news publishers' antitrust lawsuit over online search Google opens a new AI centre in Berlin * March 23, 2026Worldcategory US judge blocks Trump administration from detaining thousands of refugees FEMA National Response Coordination Center in Washington * March 23, 2026Governmentcategory Fired immigration judges appeal labor board ruling backing their removal The United States Court of Appeals for the Federal Circuit is seen in Washington, D.C. * March 20, 2026Sustainabilitycategory Musk found liable to Twitter shareholders in fraud lawsuit over $44 billion takeover Illustration shows Elon Musk photo and Twitter logo * agoSustainabilitycategory Mike Lynch's estate refused permission to appeal in UK HP-Autonomy case Illustration shows Hewlett Packard Enterprise logo * agoLegal Industrycategory Facing DEI pressures, some law firms shield data in latest diversity survey People walk along a corridor of an exhibition hall in Tokyo * agoGovernmentcategory US settles social media censorship case, bars agencies from threatening penalties Reuters logo * agoBusinesscategory Grifols approves IPO of its US biopharma business Logo of the Spanish pharmaceuticals company Grifols is pictured on their facilities in Parets del Valles * ago ImmunityBio shares fall on FDA warning letter over cancer therapy claims in ad The headquarters of the U.S. Food and Drug Administration is shown in Silver Spring near Washington * agoGovernmentcategory US judge gives universities in 17 states more time to comply with Trump race data demands U.S. District Judge Murphy Investiture Ceremony in Boston LSEG Workspace Site Index Latest * Home * Authors * Topic Sitemap * Archive * Article Sitemap Media * Videos * Pictures * Graphics * Podcasts Latest * Home * Authors * Topic Sitemap * Archive * Article Sitemap Browse * World * Business * Markets * Sustainability * Legal * Breakingviews * Technology * Investigations * Sports * Science * Lifestyle Media * Videos * Pictures * Graphics * Podcasts About Reuters * About Reuters, opens new tab * Media Center, opens new tab * Advertise with Us, opens new tab * Careers, opens new tab * Reuters News Agency, opens new tab * Brand Attribution Guidelines, opens new tab * Reuters and AI, opens new tab * Reuters Leadership, opens new tab * Reuters Fact Check * Reuters Diversity Report, opens new tab * Commercial Disclosure (Japan), opens new tab Stay Informed * Download the App (iOS), opens new tab * Download the App (Android), opens new tab * Newsletters * Subscribe Information you can trust Reuters, the news and media division of Thomson Reuters, is the world's largest multimedia news provider, reaching billions of people worldwide every day. 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