SAN FRANCISCO - Electronic Arts on Feb 28 said it is cutting about 5 per cent of its workforce, as belt-tightening continues in the video game and tech industries.

The California company behind hits including soccer game FC24 is also “sunsetting” some titles and stopping development of others it thinks will not be successful, chief executive Andrew Wilson said in a message to employees posted online.

“We are streamlining our company operations to deliver deeper, more connected experiences for fans everywhere that build community, shape culture and grow fandom,” he said.

“In this time of change, we expect these decisions to impact approximately 5 per cent of our workforce.”

The company’s annual report in 2023 indicated it had 13,400 employees, meaning about 670 positions are being eliminated.

Fellow video game makers Sony, Microsoft and Tencent-owned Riot Games have also laid off thousands of employees in recent months due to a slow recovery in the gaming market amid high borrowing rates.

Sony on Feb 27 said it will lay off 900 people across its video game division worldwide, or about 8 per cent of its employees, and close a studio in London.

Microsoft in January said it was laying off 1,900 people, or 8 per cent of staff, from its gaming division, following its acquisition of Activision Blizzard.

League Of Legends maker Riot Games said in January it will cut 530 jobs, which is about 11 per cent of staff.

In 2023, the wider tech industry lost 260,000 jobs, according to layoffs.fyi, a website that tracks the sector.

So far in 2024, layoffs are at 45,356, the site showed, from 176 companies. AFP