Tuesday February 12, 2019

Activision Blizzard Begins Cutting 8 Percent of Its Workforce

Activision Blizzard announced in an earnings calls that it was going to cut 8% of its workforce. The cuts will affect almost 800 employees primarily in sales and administrative duties as the company seeks to consolidate those departments. The company also announced that it will increase the number of developers by 20%. These employees will work on the most lucrative franchises like "Call of Duty" and "Candy Crush." This will allow the company to accelerate the creation of new content for franchises. Activision Blizzard didn't announce new games coming for 2019. The stock has lost 50% of its value since October 2018.

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"We're making changes to enable our development teams to create better content for our biggest franchises more quickly," Mr. Kotick told analysts. Activision Blizzard also plans to launch a new city-based league for "Call of Duty," akin to its existing "Overwatch" league. In its latest quarter, the company said its number of monthly active users rose about 11 million to 356 million after declining for three consecutive quarters.