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Epic Games to cut more than 1k jobs as Fortnite usage falls

https://www.reuters.com/legal/litigation/epic-games-said-tuesday-that-it-will-lay-off-more-than-1000-employees-2026-03-24/
20•doughnutstracks•1h ago

Comments

doughnutstracks•1h ago
>The folks impacted by the layoffs will receive a severance package that includes at least four months of base pay, with more based on tenure. We’re also extending Epic-paid healthcare coverage.

>For example, in the U.S., they’ll receive paid coverage for 6 months. We’ll also accelerate their stock options vesting through January 2027 and extend equity exercise options for up to two years.

https://www.epicgames.com/site/en-US/news/todays-layoffs

bakugo•1h ago
For context, they recently increased the prices of the game's cosmetics significantly to, and I quote, "help pay the bills" [1].

Apparently, that wasn't enough, and the billions of dollars in revenue the game makes every year are simply too little to keep the lights on. So now they're laying off over a thousand people and cutting several official gamemodes, so they can continue paying hundreds of millions to the creators of AI slop modes like Steal the Brainrot [2].

It's becoming increasingly clear that Epic Games is a dysfunctional company that simply stumbled onto a golden goose by sheer luck, and now that the goose can't lay eggs any faster to keep the line going up, they're panicking.

[1] https://www.fortnite.com/news/fortnite-v-bucks-price-increas...

[2] https://www.fortnite.com/news/fortnite-developers-will-soon-...

MisterTea•1h ago
There are three other submissions in the queue and likely more on this.

I know someone in Epic and they told me that its no secret inside Epic that Roblox is killing them. Why? He told me a story where a neighbors kid came by and wanted to play Roblox but he told the kid he didn't have Roblox. The child replied "It's easy! I'll show you!" and this 8 year old sat at his PC, downloaded a few MB client, signs in, selects a game and is playing within minutes. The game was a brain dead platform jumping game where you jump to the top of a tower. No enemies. No items. No anything. Just get to the top. Yay. At one point the kid fell down and the game offered to move him back to where he was for $3. Yup a fucking game hit a kid up for hard cash. The people who makes these games are child predators. Scum really.

Epics problem is Unreal can't be easily deployed like Roblox. You want to play Lego star-wars? You need to first download the base Lego game of 30GB then the 20GB Star Wars pack. A Roblox user just downloads a small client, signs in and is ready to play a stupid simple game that isn't 50+ GB. Unfortunately most of those games are not games but attention stealers that entice users to spend real money on NOTHING.

Shame that everything has been boiled down to an attention and money milking scam.

bakugo•53m ago
No, Epic's problem is that they saw Roblox's success and went "we deserve that too because we say so, let's go all-in on this market that is already dominated by an established player!"

Roblox isn't killing Epic, Epic is killing itself by desperately trying to steal Roblox's players when they have no reason to stop playing Roblox. Even if they released a 50MB Fortnite client that streams low quality assets like Roblox, it would be no different because those kids would simply keep playing what everyone else is already playing. Tim Sweeney making another tweet about his metaverse or whatever isn't going to change that.

Tsiklon•58m ago
Fortnite is 9 years old this year. Epic brought in biblical amounts of money from just this one property over this time. Where and how did they spend this money?
bakugo•32m ago
Let's see...

- Millions spent rushing out huge amounts of Fortnite content at a breakneck pace

- Millions spent organizing, designing and marketing 5 new Fortnite collabs every week

- Millions spent trying to wrangle Fortnite's spaghetti codebase as it crumbles under more than a decade of tech debt

- Millions spent trying and failing to keep the content pipeline flowing at a constant speed despite the tech debt

- Millions spent developing a failed Roblox competitor inside Fortnite

- Millions spent paying people to create awful AI generated games in their failed Roblox competitor

- Millions spent developing their own "metaverse" of brand-focused modes that nobody plays in their failed Roblox competitor

- Millions spent developing a failed Steam competitor

- Millions spent paying off developers to release their games exclusively on their failed Steam competitor

- Millions spent giving away free games every week on their failed Steam competitor

- Millions spent lining executives' pockets

It's really not hard to see where all that money is going.

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