According to Epic Games, the company laid off more than 1000 employees yesterday, with CEO Tim Sweeney saying it was a result of a significant decline in Fortnite players since 2025, causing spending to exceed revenue. That said, what should you know about it?
A closely related incident to Fortnite
For your information, this is closely related to the incident where Fortnite was removed from the App Store and Play Store after Epic Games tried to circumvent Apple and Google's in-app purchase (IAP) system.
Additionally, high legal costs against Apple and Google were also a factor in Epic Games incurring high losses. After five years of fighting in court, they lost to Apple while the case was recently settled out of court with Google.
Moreover, the layoffs, contract cuts, reduced marketing, and freezing or closing of some open positions will save the company USD500 million (~RM1.98 billion), according to Sweeney. Despite the layoffs, Epic Games will continue to focus on Fortnite with new content and seasonal events. However, three modes in Fortnite, Rocket Racing, Ballistic, and the Festival Battle Stage, are being discontinued to cut costs.
At the same time development of Unreal Engine 6 is underway along with adding features to the Unreal Editor for Fortnite (UEFN).
Stay tuned to TechNave.com for more updates like this.
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