Relic Entertainment Faces Layoffs After Sega Split

Just a week after its separation from Sega, Relic Entertainment, now an independent entity, has announced layoffs. Despite not disclosing specific numbers, the studio confirmed 41 talented individuals have left. Specializing in real-time strategy games, Relic is known for hits like Company of Heroes.

Facing Industry Challenges Head-On

This move comes amid the gaming industry’s increasing unpredictability, aiming to give Relic a stronger survival chance. The company stressed the layoffs reflect no shortcomings in the departing team’s skills or dedication. Efforts are underway to aid those affected with severance, extended benefits, and job placement support.

The Broader Impact on Relic and the Gaming Sector

Following Sega’s sale of Relic to a new firm by Emona Capital LLP, the gaming community watches closely. The split was part of Sega’s broader European restructuring, leading to 240 job cuts, mainly at Creative Assembly and Sega Europe.

This is not Relic’s first encounter with layoffs; just last May, 121 employees were let go ahead of Company of Heroes 3’s console launch. Despite the challenges, Relic pledges to continue supporting existing titles while exploring new ventures.

With over 15,000 layoffs across the gaming sector in the last 18 months, the industry faces a significant downturn. Relic’s situation underscores the broader challenges faced by game developers worldwide.

What Do You Think?

What do you think about the recent developments at Relic Entertainment and the broader challenges facing the gaming industry? Please share your thoughts in the comments below.