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Video game union workers rally against $55B private acquisition of EA

https://www.eurogamer.net/ea-union-workers-rally-against-55bn-saudi-backed-private-acquisition-with-formal-petition-to-regulators
174•ksec•2h ago

Comments

ryandrake•1h ago
> "EA is not a struggling company," the statement reads. "With annual revenues reaching $7.5 billion and $1 billion in profit each year, EA is one of the largest video game developers and publishers in the world."

Seems to be a common theme in 2025: Actually-healthy companies cosplaying as struggling companies, as an excuse to justify layoffs and other activities that transfer wealth and power from employees to management and shareholders. Like, does anyone think any of these BigTech (and MediumTech) companies who are all doing layoffs are really "struggling" and "vulnerable"? It's always just an unbelievable excuse.

glimshe•1h ago
This is multifaceted question. I agree with what you're saying, but let me add something.

Corporations are greedy and let go of many good people. But they also let go of many people who deserved to go. It's really hard to get rid of bad people, even in the US. But you wouldn't believe how many bad people were in big tech because of the COVID over hiring.

I've seen dozens, if not hundreds of people, who went to FAANG and added next to no value. As a manager in one of these companies, I had to deal with a mix of great people and many who were absolutely taking advantage of the company. I could write a book about it. Good for them, but it's not surprising that the party would end someday.

eli_gottlieb•1h ago
> It's really hard to get rid of bad people, even in the US.

Could you explain why it's hard? I've never seen anyone run into any kind of difficulty letting go an at-will employee. The manager can do so at any time, for any reason or no reason at all.

mikestew•1h ago
And the company can be sued at any time, for any reason or no reason at all. That does not mean the plaintiff will win, but against deep enough pockets, it can be worth a try. PIPs take time, and HR isn’t about to let you skip them, and bad employees know they’ve got six months to spend their workday looking for a new job while not doing their current job. I’ve worked at those companies, and sometimes managed at same, and when OP says they have stories, I believe them.
nkozyra•1h ago
It would not be worth a try if not for a very legitimate reason. Being laid off and mounting a civil case against deep pockets doesn't sound like a recipe for success.
lesuorac•1h ago
Which is why severance payments in fang are tied to not suing the company. If that works when you lay of 10% of the company why doesn't it work when you want to fire 1 individual?

You can definitely argue it's not fair to pay somebody extra for not doing a job but the alternative seems to be you keep paying them even more to keep not doing a job (and possibly doing negative work).

Rather than put somebody on a pip for x months just offer them x months of salary to quit. Same money, same work done.

zdragnar•1h ago
You don't give people severance when you fire them, you only give them severance when you lay them off.

There's a legal distinction which impacts whether or not the employee is eligible for unemployment benefits, among other things.

onraglanroad•1h ago
I don't.

The company could be sued by a non employee too. What difference does that make?

And if your company procedure requires a PIP, then you do that. Again, where's the difficulty?

Nothing you've said sounds difficult in the slightest. It's following procedure.

wmeredith•1h ago
I'm not the poster you were responding to, but I have some experience in this. I am an engineering manager at medium size US company. If I want to fire a poor performer it requires a couple months of detailed documentation on their poor performance, and that's just so I can get them on a PIP (performance improvement plan). That's another 30-90 days. The PIP takes time to prepare and performance during the PIP also has to be rigorously documented.

This has been my experience at two different companies in multiple cases with egregious underperformance. I suppose if an employee assaulted/harassed someone or was doing something else outright illegal like theft or embezzlement, they would be shown the door immediately. But if someone is half-assing their work and dragging the team down, everyone has to put up with it for months as they get second chances, micromanagement, and other special attention before they can actually be let go.

I think it's due to the litigiousness of the US culture. Yes, US companies can fire people at will, but they can also file lawsuits at will, which are costly (time+money) no matter the outcome.

ryandrake•1h ago
This has never made sense to me. In the US, you can fire someone because you don't like that they wore a green shirt! As long as it's not for one of those specific, enumerated forbidden reasons, companies have total freedom to hire and fire.

I was fired once, and there were no PIPs, no documentation, no warning, no nothing. Just "We aren't doing this work anymore and don't need you" and that was that.

Edman274•1h ago
If you happen to wear a green shirt on St. Patrick's Day, then maybe you can sue and say that you were fired because your boss is bigoted against Irish Americans. No one ever comes right out and says that they're firing someone for an illegal reason, so the PIP and the rest of that song and dance is to try to prove that it was above board for a potential lawsuit, which companies seek to avoid at all costs.
Aurornis•32m ago
> In the US, you can fire someone because you don't like that they wore a green shirt!

And if that employee can show that other people were allowed to wear green shirts without being fired, they can use that to support an illegal discrimination claim against the company.

The reason it takes effort and documentation to fire people is because companies want to have a uniform set of rules that are applied equally to all employees. They also want documentation to support the firing. Having a consistent process, applied equally and with supporting documentation discourages people from even trying to bring frivolous lawsuits.

Having additional process is also a check on managers. Some managers try to fire anyone they disagree with, dislike, or even to do things like open headcount so they can fill it with a nepotism hire. Putting process in place and requiring documentation discourages managers from firing people frivolously and adds another level of checks and balances to discourage gaming the system.

zdragnar•1h ago
I worked for an agency company (mostly T&M contracts) that went through a round of layoffs almost entirely because they wanted to be "like a family" and the managers didn't let poor performers go. I think they ended up cutting something like 10% of their workforce, including underperformers and all new hires, in an effort to get cash flow moving in the right direction again.

It was incredibly rough- a lot of people who weren't being told they needed to shape up or ship out were instead simply told they're being shipped out. The only upside is managers got better about supporting employees later on who weren't performing, including putting people on PIPs rather than letting them coast.

stronglikedan•1h ago
It depends on the size of the company as to what needs to be documented to let someone go. SMBs can let people go much easier, and the smaller, the easier.

But what you cannot do in any circumstance is let people go "for any reason". There are laws against that at any size, and you are looking for a lawsuit if you give a reason.

It's best to just tell them their position has been eliminated due to restructuring (has to be provable if you're a big company), and give them no reason beyond that. If you don't give a reason, they have nothing to bring a lawsuit for.

In summary, reasons are not always required, but are always a liability.

earthnail•59m ago
There are internal reasons as well. Letting go of people can be highly disruptive and create uncertainty in your team. It’s a very unpleasant job that can also go wrong, especially if you have to fire loads.

Then there’s the perverse incentive that bigger teams usually equals a promotion. So if you’re the honest manager who manages a tight team and fires people, you won’t get promoted as often.

Top management knows this, of course. To sidestep these misaligned incentives a company-wide one-time layoff is really effective.

fifticon•1h ago
but who takes responsiblility for hiring those 'bad' people in the first place.. I am not saying you should't get rid of them, but the issue makes me think of that kind of people, who for some reason always think that it is someone other than themselves who must adjust and adapt.
glimshe•1h ago
Those who overhired should have been fired, I agree. It's incredible (or not) that the CEOs weren't eliminated.
grogenaut•1h ago
The people who hired them may be long gone by now.
Aurornis•39m ago
Can't speak for every company, but most companies I've worked for with detailed hiring practices would evaluate the long-term outcomes of people that hiring managers chose.

If someone hired a lot of people who had to be laid off later, they would get more supervision and review of future hires.

reactordev•1h ago
>But you wouldn't believe how many bad people were in big tech because of the COVID over hiring.

There’s no correlation. They hired expecting a certain type of growth. They fired because of AI. The narrative that they were getting rid of bad workers was their excuse, not the reason. Many great engineers got let go. Many project managers that had been with the company through ups and downs. One guy was let go after being poached from a FAANG after his 3rd day. So don’t say anyone deserved it.

ahtihn•45m ago
Post-covid layoffs happened before ChatGPT, so it's certainly not because of AI.

End of 0 interest rates is the more likely reason.

jayd16•1h ago
So like, what's the argument here? You felt FAANGs over hired and then had a good round of layoffs so every layoff is good and justified?
tharmas•1h ago
I heard that the purpose of over hiring during Covid was to hoard talent. That is, to prevent another company from hiring that talent.
bko•1h ago
I don't think you need to "justify layoffs". If a company feels an employee is not being productive, they should be allowed to let them go. Same way if an employee feels he is getting underpaid or wants to work somewhere else, they should be allowed to leave.

I've actually always liked working for companies in which the objective was straight forward. None of this "we're a family" stuff. You should be kind, and all the places I was at were kind. But layoffs are a reality and reducing headcount at times is part of that. You need a way to get rid of dead wood, otherwise you would be too afraid to grow and hire when you need to.

dragonwriter•1h ago
> I don't think you need to "justify layoffs".

Layoffs are a signal to markets of struggles, and firms absolutely do, in practice, need to justify them (and their scale and focus) to avoid the risk of a self-fulfilling market perception that they signal a problems that they do not fully resolve. (If there is already a problem narrative, much of the justification is obvious, and the firm just needs to cover explaining how the layoffs address the problem.)

helge9210•1h ago
If we assume the company runs N projects with positive Net Present Value (NPV) at the start of the project and after re-evaluation some of the project NPV turned to be negative, closing the project and laying off the staff will actually make company worth more.
dragonwriter•12m ago
Yes, but the reason you will see companies put out press releases explaining layoffs is because the market does not on its own make such generous assumptions reliably when it sees layoffs.

(And even if it does, the fact that the NPV of a project "turned negative" indicates that the value of the company dropped, and the layoffs are only a partial mitigation.)

ndriscoll•1h ago
Layoffs are a signal that a company feels they don't see a way to get a high enough ROI on their productive capacity. That could be performance related, or it could be e.g. that the company does not see good R&D avenues to pursue, so they scale down their R&D org. Or market demand dries up so they scale down their sales org. Or interest rates change, changing the definition of "high enough ROI". In theory people working in computer fields are always building automation so it should be easy to scale down and coast in maintenance mode if the business wants to do that. That applies less to video games of course, but even there the top selling games each year consistently feature Call of Duty <current year>, Madden <current year>, and FIFA <current year>.
cudgy•54m ago
Layoffs indicate a poorly run, inefficient company, especially if other companies in the same industry had fewer layoffs. Typically this means that the company hired and trained more workers than it needed; their estimates of future opportunity was wrong relative to other companies that did not require layoffs because they’re hiring was based on more accurate estimates.

Another factor is that retained employees that learn of companies layoff frequently become concerned about their own position and the treatment of the workers that were laid off, reducing employee morale. High performers may start looking for another job in order to avoid expected future layoffs.

Then there’s the impact on potential future employees, who will also know about the layoffs. These employees will be aware of recently layoffs and will expect more money from said company who will also have to train the new employee that replaced the one they laid off before.

Finally, you have the impact on potential customers or existing customers. Some customers have relationships with employees that are laid off, and this can be jarring. The customers may become concerned about the liability of the company or the management of the company, potentially moving all our part of their business to another firm.

All of these effects are not typically beneficial to the company or it’s shareholders.

dijit•1h ago
I'm in the same camp as you.

However the best work I ever did was done when I didn't have a pressure of being fired for offending the wrong person, and that I had the psychological safety to think longer term- since a short term "time-waste" often converted to better long term outcomes for everybody.

bpt3•1h ago
In my experience, companies that are focused on being a well-run company rather than a politically/personality/emotionally driven shitshow also are the ones that have long-term perspective and avoid making kneejerk reactions to almost everything.
Aurornis•59m ago
> However the best work I ever did was done when I didn't have a pressure of being fired for offending the wrong person, and that I had the psychological safety to think longer term- since a short term "time-waste" often converted to better long term outcomes for everybody.

I felt the same way until I worked at a company where almost nobody ever got fired or laid off. Anyone who was hired was basically guaranteed their job until the end of time because the leadership didn't like letting anyone go.

It only took a couple years until every time you needed to do something you'd run into some employee somewhere who wasn't doing their job. Even many people who seemed capable and appropriately skilled started slacking off when they realized there were never any consequences at all.

It was like a broken windows theory for the workplace. As people looked around and saw that others were doing almost no work, it started to spread. The people who liked actually shipping things started leaving, turning it into a snowball effect.

So there's a balance. Always working under threat of layoff and seeing good coworkers let go when you're already overburdened isn't good. Working in a company where there is no pressure at all to perform isn't good either.

dijit•34m ago
Hah, yes, I've also been in those companies, and that's exactly why I have the shared view of the person I was replying to.

There's a sort of apathy osmosis that happens when you realise that you can't actually do anything because everyone else is sort of checked out... so the you, yourself, sort of check out too.

I get anxiety and "itchy" if I don't move towards my goals with any kind of swiftness.

gjsman-1000•33m ago
Been there - done that. Worked at a company with no employee pressure, and it was absolutely infuriating that I could work my tail end off, while another employee was provably committing borderline wage fraud, but it always got written off as "personal issues" rather than take the risk of intervening... ever.

To the point I even had a boss say that part of this happens because nobody is there to spank adults when they need it (seriously), rather than intervene too strongly and have to find a replacement or hurt feelings or something. Or another contract worker, I got an apology from said boss... but he insisted she's better now than she used to be, the latest incident is mild compared to incidents before I arrived. As though that fixes it.

Much happier now at a company which cuts dead weight; and accepts we can't afford it.

nonethewiser•7m ago
Guess it's their loss then. If companies are more productive by being more relaxed then we should see more of those companies survive and thrive.
pmarreck•1h ago
> If a company feels an employee is not being productive, they should be allowed to let them go.

Even if they feel they ARE being productive, they should be allowed to let them go. The ultimate point of a job is not to get paid, it is to produce work that accomplishes a goal set by the employers. So if they change those goals for some reason, then the letting-go should be allowed.

I really wish there was some sort of UBI to disincentivize clinging to a near-useless (in terms of ultimate goals) job. Heck, just making unemployment not contingent on getting fired (another perverse incentive) would be an improvement.

jasonlotito•1h ago
> If a company feels an employee is not being productive, they should be allowed to let them go.

That's not what layoffs are. In fact, your belief is not productive. Why are you waiting for layoffs to get rid of people who are not being productive? Why are you supporting people being unproductive?

> You need a way to get rid of dead wood, otherwise you would be too afraid to grow and hire when you need to.

That's not what's happening. Generally it's a result of leadership failing to do their job, misusing resources, and needing to compensate for that in the market.

Layoffs are signals that the leadership is not being productive. Full stop.

johanneskanybal•1h ago
If you’re in tech in us you’re also compensated based of that, it’s not exactly the same math everywhere/anywhere. Also we’re at a site which is the Mecca of meritocracy and it’s useful to remember that part too.
jayd16•1h ago
> [...] layoffs". If a company feels an employee is not being productive [...]

Layoffs are not about individual performance

fn-mote•1h ago
Are you sure?

So getting rid of 20% of the workforce and selecting “the bottom 20%” is not a layoff?

jayd16•58m ago
You can loosely rank folks as best as you can but its still inherently a systemic action and not based on individuals. Other factors beyond individual performance caused the layoff.
rafaelmn•1h ago
Productivity and performance are not the same thing. You can be a top performer on a project that flops and you're a net negative. Ideally you'd get transferred to a more productive role but there are a lot of variables involved.
dkxjxb•1h ago
I used to think like this. However, this kind of argument is only good if the basics are met. We have enough technological advancement in America that given strict immigration controls we can ensure the median American is able to raise a family of at least 2 kids while holding an entry level job (of which their should be plenty). Anything else is morally wrong, and those pulling the levers of power are evil.

We’re seeing the opposite and the wealth gap is increasing because the elites running our society see us as cattle, not countrymen.

The current point of our country is to increase GDP (which is a fancy way of saying make the rich richer, given the current wealth gap). It should be to enrich the lives of all its citizens.

bpt3•1h ago
> We have enough technological advancement in America that given strict immigration controls we can ensure the median American is able to raise a family of at least 2 kids while holding an entry level job (of which their should be plenty).

What evidence is there to support this? Kids are expensive, and entry level jobs do not produce enough value to generate an income that can support several people.

> Anything else is morally wrong

Why?

beachtaxidriver•27m ago
But it used to.

In the post war boom it definitely used to produce enough value to support several people.

And we're far wealthier in aggregate now than before, it's just distributed badly now.

tock•21m ago
Thats because entry level jobs provided a lot of value back then. It's just harder these days with the amount of automation and tech advancement.

I guess one way is to increase the min wage a lot. But I am guessing employers will just pivot to hiring even less.

wat10000•54m ago
I completely agree with the goal, but I don't think that making it difficult to fire employees is a good way to achieve it. That's essentially funding welfare with a randomized and hidden tax on employers. It would be better if firing for performance was reasonably easy, but new jobs are plentiful and welfare programs allow a reasonable life between jobs. (And, of course, for those who can't work.)
daedrdev•7m ago
We dont build housing anymore so costs go up. That has little connection to our ability to afford living well
conception•1h ago
One comment on this is when you leave a company is customary to give your two weeks. Companies rarely offer than consideration for employees. This unbalanced power dynamic is even greater as a layoff doesn’t mean a catastrophic situation for the company but for the employee it often is. The two events shouldn’t be compared apples to apples.
ahtihn•48m ago
> Companies rarely offer than consideration for employees

In almost all layoff situations, employees get severance even in the US no?

At least for the big tech layoffs that seemed to be the case.

cm2012•27m ago
This is the case for big tech, almost never for small businesses in usa
gmanley•19m ago
Define small businesses, because unless you are talking a mom and pop shop, my experience is severance is still a thing and definitely not big tech exclusive.
dfxm12•1h ago
Layoffs are different from firing individual people. Layoffs do have some legal requirements, including what's outlined in the WARN Act and/or whatever local equivalent. Layoffs also have to be justified to Wall Street or else the stock price will be affected. GP is clearly talking about the latter.
tharmas•1h ago
Ah yes, the employee is a Cost, not an asset. Got it.
ghurtado•34m ago
> they should be allowed to let them go.

Sounds like you've never worked here, but in the US that's always been the case.

US corporations do not need you shilling for their rights, they are doing very well in that department without your help, thank you very much.

mschuster91•32m ago
> You need a way to get rid of dead wood, otherwise you would be too afraid to grow and hire when you need to.

Alternatively, you can retrain the workers. Replacing workers has serious cost disadvantages: recruiting itself costs money (the HR staff dedicated to that, external headhunters, "employer branding" measures, job exhibition rents and swag), layoffs cost reputation, and new workers need to be trained in your company specific procedures from timetracking to expense refunds.

Unfortunately, these costs are all too often hidden deep in the balance sheets, which makes just dumping off entire departments while hiring up other departments appear much more financially attractive than it is in reality, all costs considered.

And finally, the ethical question remains: executives get paid sometimes a hundred million dollars a year because of the "responsibility" they hold. But in the end, they do not hold any responsibility, any accountability - financial penalties for shenanigans get covered by D&O insurance, and the first ones to get sacked for (or having to live with) bad executive decisions are the employees while the executive gets a departure agreement showering them with money.

IMHO, before a company can even fire a single worker for another reason than willful misconduct, the entire C-level executive has to go as well, with immediate stop of pay and benefits.

qwery•31m ago
The term 'layoffs' in this context is simply not what you're describing. These layoffs occur at such scale that it's unreasonable to assume any individual employee being "let go" has even been evaluated as an individual.

And, yes, of course layoffs are something that need to be justified, just as with firing an individual employee, as you know -- the "employee is not being productive" is a justification.

baggy_trough•28m ago
If I no longer want to pay for your services, I should be able to stop for any reason, or no reason at all.
gjsman-1000•24m ago
At a fundamental level, I agree with you.

I also believe that the fact 1,000 employees can be laid off at once, and then flood the market with applications, is not something we should prevent. Rather, it's a sign we need to make more small independent companies. This is a concentration problem.

That would of course require that maybe we shouldn't have the Magnificent 7, but the Magnificent 100. Maybe instead of the Fortune 500, we need the Fortune 5000, with each one much smaller. Not happening anytime soon with current incentives, but I think it would be better for everyone. We shouldn't split Google into two, but into thirty.

It would be radical... but imagine if we set an aggressive, aggressive cap on employees and contractors. Like, limit 100, with a 1% corporate income tax on every additional person. Projects at scale - 50 companies cooperating; maybe with some sort of new corporation cooperation legal structure (call it the D-Corp, it manages a collection of C-Corps working together, and cannot collect profits for itself or own property).

gruez•22m ago
>These layoffs occur at such scale that it's unreasonable to assume any individual employee being "let go" has even been evaluated as an individual.

Isn't that most layoffs? Think of the layoffs post GFC. Did the subprime mortgage crisis suddenly make everyone incompetent, or are companies simply trying to trim budgets and need to hit some number? If it's actually due to poor performance, it would be through a PIP or similar.

immibis•15m ago
The latter, and that doesn't make it a good thing
wholinator2•7m ago
Yes but the GP used poor individual performance as their only positive reason of layoffs not needing justification. So the reply was that individual performance is almost never a factor in actual layoffs, a point which you and I agree with. Thus, poor employee performance is not a monolith that can be used to explain all layoffs, and these companies should have to give better reasons that align with actual reality.

It's about the immense asymmetry of power here. Yes, a person can leave just like a company can fire. But a single person quitting is nearly never a massive disruption to the business, but the business firing someone is nearly always a catastrophy for that person.

I don't need to justify quitting because I'm not harming you by doing so. Laying off hundreds of people absolutely requires careful and validated justification as your significantly harming nearly everyone impacted.

Of course these companies do pay well usually, but not all of them do, and not every individual has the privilege of cheap health and rent and a cheap family. Any single significant factor in a persons life can cause that "well paid" factor to mean a lot less, especially if it drags out to 6 months or more like it is known to do

ikrenji•26m ago
these companies are breaking the social contract. the society allows them and tolerates them making billions in profit as long as it's shared with the public in the form of good jobs. if you remove the latter part from the equation what's the point of these companies anymore? people are not gonna put up with this and something is gonna give sooner or later.
screye•24m ago
I have changed my opinion on professional warmth.

In demanding industries, people spend 2/3rds of their waking hours around their coworkers. That's practically their whole life. It's cruel to encourage coldness in such an environment. You aren't family. But, you can be comrades. Your friendships can be forged through shared struggles, shared spaces and convenience.

It's a unique trait of tech companies to encourage cold but polite relations with your coworkers. Other industries have layoffs, politics and capitalistic competition. That doesn't stop coworkers from becoming friends.

The new generation is more isolated than ever before. The workplace is one of the few remaining mandatory social spaces. We should encourage the organic warmth that builds up between coworkers. It's cliche. But we're social animals.

AlexandrB•2m ago
There's a difference between professional warmth and "we're a family". The latter usually comes top-down, from management and is fundamentally disingenuous. It's often a self-serving way of trying to get you to treat the company as your family, while company leadership still won't hesitate to lay you off in a mass zoom meeting. It's fine to be friends with co-workers or managers, but don't let companies obscure the fundamental nature of the relationship.
pfisch•10m ago
I agree with you, though I would say what is happening here is more like strip mining vs cutting dead wood.

I don't know that it should be legal to buy a company and then pay for it by loading up the company with debt obligations. It seems like a form of value destruction in order to enrich a bunch of vultures.

Fundamentally it is basically saying maybe we could buy this company and then plunder it with some % chance that it will still stay afloat and keep generating profit after they gut the company to try to service a debt that should not be attached to the company at all and provided no value to anyone but the vultures.

alfalfasprout•9m ago
You do need to justify them to investors. Layoffs are, historically, a sign of weakness and has an effect on growth.

Companies need to be strategic with the messaging so as to not scare shareholders. Hence, they use "strategic refocusing on AI" or "operating leaner and faster" as buzzwords to characterize the layoffs.

In reality, in the last couple years companies are just trying to slash costs however they can because real sustained growth is highly uncertain.

simonjgreen•9m ago
I agree with you, however, layoffs and performance management are different things though.

If an employee is not being productive, that is a performance management issue and a good company will start by trying to fix it and if that doesn’t work will replace them. A bad company will retain bad performing people.

Layoffs are when you don’t have the work for them or you can’t afford something so are restructuring or similar. A good company will make layoffs and restructure if the economics require it. A bad company will keep going without doing that, ignoring their finances.

jandrese•2m ago
If an employee is unproductive they can be fired. Layoffs are how you get rid of employees that are productive without having to make up some justification because it lowers your costs and increases the stock price, which rewards the executives.
jayd16•1h ago
Games are a deep pipeline. Technically they would be looking at cost and revenue projections 3-5 years out, not this year or last year.

That said, I think its completely justified for union bargaining to push back on the idea that its the emplpoyees that should burden that problem.

leetharris•1h ago
This is the nature of public markets. Not everything should be public. In fact, MOST things should not be public. Because being public forces accountability and liability to shareholders in a way that is completely unlike being private.

A company can be successful by most metrics, but if certain trends are not heading in the right direction, then faith in the stock drops, employee compensation goes down, future investments become dicey, etc.

This is the nature of public companies. This is why they don't want to be public anymore.

Eric_WVGG•1h ago
EA is about as successful as it is possible for a videogame company to get. There's a finite number of gamers, hours in the day, and cash that those gamers can spend, and EA is getting a healthy chunk of it.

If the point of a corporation is profitability and good product, they had that.

But if the point is growth, then all that leaves is branching into other verticals, which leaves… movies and gambling?

loving that late stage capitalism!

screye•40m ago
> as an excuse to justify layoffs and other activities that transfer wealth and power from employees to management and shareholders

Video game employees (programmers) are famously overworked, layoff prone and have little say in executive matters. I can't imagine how PE could make things worse.

The video game industry has been in an odd place for a while. The 2020s haven't produced many reliable AAA hits.

manoDev•29m ago
Salaried workers sell their time in advance with promises of promotions, bonuses or stock in the future.

So what (public) companies do is over hire during growth, then lay off later to transfer the value created by these workers to shareholders. Rinse, repeat.

yunyu•28m ago
As a shareholder of many companies, I would be disappointed if the management team made decisions that disproportionately benefited employees at the expense of other non-employee shareholders.
RobotCaleb•7m ago
Yeah, because you as the shareholder are worth more to the company and society than the people at the company.
doctorpangloss•1h ago
Games are experiences, all aspects of the experience, such as how the game is made and by whom, is on the table (is “valid”).

That said, the best way to achieve the goals of the article at a studio like EA is make it an issue for the games’ primary audience, 13 year old boys.

The way that comments like these get downvoted shows why these developer union guys, whom I support, have so far to go.

lofaszvanitt•1h ago
"EA is one of the largest video game developers and publishers in the world." Yet, it creates zero value. As an added plus EA is a publicly traded company....
jsbg•1h ago
> Yet, it creates zero value.

Then why do people give them money?

dgfitz•1h ago
Yeah, it’s like saying Netflix doesn’t create value, or Universal Pictures doesn’t create value. I do not agree with the GP. As far as I can tell, openAI has created very, very negative value as of today, financially.
dunkvg•1h ago
What he meant is that company's MO is buying IPs of successful franchises that are dear to many gamers, release 1-2 crappy games on that IP that is filled to the brim with microtransactions which is not well received by the customers (but makes them money), resulting in the death of that franchise. Rinse and repeat for whatever IPs still remain to be bought.

It creates money, but contributes 0 or negative value for the actual gaming industry, unlike other companies like FromSoft that consistently hits the ball out of the park, pushing the envelope on new franchises and new gaming genres. THAT, is creating value.

gruez•17m ago
>which is not well received by the customers (but makes them money),

stated preference vs revealed preference, or alternately, the people commenting about games on HN or reddit aren't reflective of the average EA customer.

mikkupikku•1h ago
There are certainly a lot of people who do actually like their games, but a lot of their revenue comes from a combination of aggressive marketting and that old P.T. Barnum adage. There's a lot of new gamers born every minute, and it takes being burned a few times before somebody learns to avoid EA products.
jayd16•1h ago
Not liking Battlefield 6, I take it?
daedrdev•6m ago
Value is subjective
jjangkke•1h ago
i think the union here is overreaching and expectations are unrealistic.

the stakeholders/investors have priority here and they have sold the company to the highest bidder.

at this point anyone participating or showing support behind union is at risk of being profiled and black listed in the industry and not just EA.

its in their collective interest to setup in jurisdictions outside the US where labor laws make the latter illegal but certainly not in many parts of the world and jurisdiction arbitrage makes it a very real probability.

my advice to anyone working at EA or any unionized white collar jobs in this nidustry and relate to keep your heads down and don't post your thoughts in public.

jayd16•1h ago
If pushing back against a cash out is overreaching then what would be a valid union power?
wahnfrieden•59m ago
OP is anti-union, so, likely nothing.

Their points are cause for unions to organize across companies and industries (though solidarity strike action is illegal in the US because it's effective). But they take for granted that employers should have their way and that employee interests are best served by appeasing owners.

fidotron•55m ago
> the stakeholders/investors have priority here and they have sold the company to the highest bidder.

At EA a lot of the long term employees had significant stock holdings too.

fair_enough•25m ago
Not to be pedantic, but I think you mean "shareholders".

In the context of software, the term "stakeholder" means anyone who will use the project being worked on.

In the context of business, "stakeholder" is an intentionally nebulous term designed to obfuscate who is supposed to be enriched by the actions of the company. Usually that term is a way of deceiving people into thinking the company's goal is to serve "the community", when in reality it's serving the shareholders at the expense of the well-being of the community.

Sometimes, it's a way of deceiving the shareholder for the benefit of the executives, e.g. some "DEI" bullshit that hurts the community, the shareholders, and most of the employees just to feed the HR department and the C-suite's insatiable lust for power.

hollerith•17m ago
>Usually that term is a way of deceiving people into thinking the company's goal is to serve "the community"

It can also encourage workers to consider the needs of customers and suppliers, the ignoring of which will tend to eventually harm the company and its shareholders. I.e., it is not always a weasel word.

regularization•9m ago
> ny advice to anyone working at EA or any unionized white collar jobs in this nidustry and relate to keep your heads down and don't post your thoughts in public.

I'd note that the workers creating the wealth and doing all the work are among the vanguard of workers doing the best in the world, but the advice given sounds similar to advice that could have been given to slaves on a plantation, in case the masters be upset.

The workers do the work and create the wealth of these companies. The apparatus over them is just parasites sucking their labor off into profits.

Whatever the immediate strategy should be, organizing, educating and agitating is the order of the day, for anyone with any sort of backbone or self-worth (of course narcissistic notions to consider oneself a genius and everyone else is dead wood, as someone put it here, has been encouraged).

next_xibalba•31m ago
All I ever hear about it how hellish it is to work in the video game industry. Why do people stay? How do companies retain employees?
thrance•28m ago
It is hellish because there are a lot of people who want to work in video games. Workers having to compete lead to bad working conditions, as employers push the boundaries of what they can get away with while still finding enough workers to fill their positions.
gruez•25m ago
https://en.wikipedia.org/wiki/Compensating_differential

Making video games is a cool job. Making enterprise CRUD software isn't. Video game studios can therefore treat workers worse and get away with it because for at least some subset of the workforce, they'll put up with it.

doctorpangloss•21m ago
the industry is vast and there are many experiences. It's certainly not hellish for the 3 guys + contractors who made Silksong, or for Lucas Pope, or for many of the people working at huge mobile game studios.

EA makes games with numbers in their names. They do not take on a lot of risk, which means "anyone" could do it. So they have to work very, very hard. This is NOT a complicated idea.

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