Monday February 25, 2019

GOG in Financial Trouble as Layoffs Hit the PC Games Digital Storefront

GOG is in financial trouble as the DRM-free PC games digital storefront has confirmed it laid off 12 members of its team. This number may seem small, but it equates to 10% of the total workforce at GOG. On a more positive note, the company is hiring more employees and says it has "welcomed nearly twice as many new team members." GOG competes directly with other digital game storefronts such as Steam, Origin, Epic Store, etc.

News Image

"We were told it's a financial decision," that person told me in an online message. "GOG's revenue couldn't keep up with growth, the fact that we're dangerously close to being in the red has come up in the past few months, and the market's move towards higher [developer] revenue shares has, or will, affect the bottom line as well. I mean, it's just an odd situation, like things got really desperate really fast. I know that February was a really bad month, but January on the other hand was excellent. We were in the middle of a general restructuring, moving some teams around, not unprecedented. But layoffs that big have never happened before."

Discussion