Epic

<ul class="list-ic vertical"> 
 <li> 1 <a>In a recent email, Epic Games CEO shared the plan to reduce his company’s workforce.</a> </li> 
 <li> 2 <a>According to Tim Sweeney’s note, he is cutting nearly 16% of the workforce.</a> </li> 
</ul> 
On September 28, 2023, Tim Sweeney, the CEO and co-founder of Epic Games, sent an email to Epic’s employees. As per his note, his video game company, Epic Games is “laying off around 16% of Epic employees.” He added, “We’re divesting Bandcamp and spinning off most of SuperAwesome.” 
<h2 class="wp-block-heading" id="strong-what-s-inside-epic-games-ceo-s-note-strong">What’s Inside Epic Games CEO’s Note!</h2> 
Tim Sweeney said that his company has been spending way more money than they earn. Notably, Epic Games is “investing in the next evolution of Epic while growing Fortnite as a metaverse-inspired ecosystem for creators.” Sweeney said, they had long been optimistic as they could power through this transition without layoffs, but in retrospect, he saw that this was “unrealistic.” 
According to Sweeney, Fortnite, an online video game developed by Epic Games, is starting its growing phase. Its growth is “driven primarily by creator content with significant revenue sharing.” 
Although, this is “a lower margin business than they had when Fortnite Battle Royale took off and began funding the company’s expansion. He also pointed out that “success with the creator ecosystem is a great achievement, but it means a major structural change to our economics.” 
The CEO kept the point as the Epic folks are all around the world, and have been making ongoing efforts to reduce costs. That includes “moving to net zero hiring and cutting operating spend on things like marketing and events.” At last, they ended up “far short of financial sustainability.” 
Apart from Fortnite, Epic Games also developed the Unreal Engine. It also empowered titles such as God of War and PlayerUnknown’s Battlegrounds. 
<h3 class="wp-block-heading" id="strong-tim-sweeney-s-further-plans-strong">Tim Sweeney’s Further Plans</h3> 
Tim Sweeney concluded that “layoffs are the only way, and that doing them now and on this scale will stabilize our finances.” 
According to Sweeney, “They are cutting costs without breaking development or their core lines of businesses so they can continue to focus on their ambitious plans.” Nearly “two-thirds of the <a href="https://www.thecoinrepublic.com/2023/07/14/layoffs-investment-cuts-and-more-by-crypto-firm-circle/" target="_blank" rel="noopener noreferrer nofollow">layoffs </a>were in teams outside of core development.” 
Over the layoff update, Epic Games CEO updated that “some of the products and initiatives will land on schedule, whereas some may not ship when planned.” He added, “They are under-resourced for the time being. Although they are “ok with the schedule tradeoff if it means holding on to their ability to achieve their goals, get to the other side of profitability, and become a leading <a href="https://www.thecoinrepublic.com/2023/09/24/metaverse-wealth-to-be-taxed-coveted-harvard-legal-scholar/" target="_blank" rel="noopener noreferrer nofollow">metaverse </a>company,”&nbsp; as Sweeney ended the note. 
Furthermore, on the same day, two more acquisition updates came out related to Epic Games. As Songtradr acquired Bandcamp from Epic Games whereas SuperAwesome Leadership also acquired the company from the video game company.

Epic Games CEO’s Letter to his Employees; Announced Layoff

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Thecoinrepublic.com

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