Electronic Arts to lay offmore workers

Electronic Arts on Thursday said that
more layoffs were in store at the
console videogame titan as it adapts
to the popularity of play on
smartphones, tablet computers and
online social networks.
"In recent weeks, EA has aligned all
elements of its organizational
structure behind priorities in new
technologies and mobile," the
California-based company said in a
blog post.
"This has led to some difficult
decisions to reduce the workforce in
some locations."
(Also see: Electronic Arts cuts staff at
Montreal studio)
EA referred to the latest round of
layoffs as "hard but essential
changes."
EA did not specify the number of
workers being let go, but videogame
news website Kotaku cited unnamed
sources saying the company would cut
employee ranks by 10 percent.
In March, EA chief executive John
Riccitiello stepped down.
EA veteran Larry Probst was
appointed to lead the company's
executive team while the board of
directors searches for a replacement
for Riccitiello, whose tenure as chief
executive began in 2007.
EA is among the longtime videogame
industry companies striving to adapt
to an industry being transformed by
the popularity of free play on
smartphones, tablet computers and
online social networks.
While announcing Riccitiello's
departure, EA warned investors that
its earnings for the quarter could be
slightly lower than estimates provided
at the end of January. EA is to report
its quarterly earnings on May 7.
Last week, EA announced that it will
"retire" some Facebook games that
seem to have fallen out of favor with
players at the leading social network.
EA said that 'The Sims Social, 'SimCity
Social' and 'Pet Society' will be taken
offline on June 14.
"After millions of people initially
logged in to play these games, the
number of players and amount of
activity has fallen off," EA said in a
release.
EA continues to make games for use
on Facebook, noting the upcoming
release of Bejeweled, Solitaire, and
Plants vs. Zombies titles from its
PopCap studio.