Published , by Donovan Erskine
Published , by Donovan Erskine
Niantic has been one of the busiest studios in the industry, constantly inking deals with major IP-holders and announcing new games, but it looks like the company is now hitting the brakes and backing up a little. According to a new report, the Pokemon Go developer has laid off 230 employees, closed its LA office, and canceled its upcoming Marvel game.
Niantic founder John Hanke announced the layoffs in an internal email obtained by Kotaku. According to Hanke, Niantic’s expenses were outgrowing its revenue, leading to the job cuts. In addition to laying off 230 workers, Niantic will close its Los Angeles studio. The company will also shut down NBA All-World, and is canceling Marvel World of Heroes, the latter of which was announced in 2022 and was set to launch this year.
John Hanke’s email to employees also touches on the state of the mobile game business and the company’s failure to hit performance marks in recent history.
Moving forward, Niantic will channel more focus into Pokemon Go, the game that catapulted it into video game superstardom back in 2016. The developer recently found itself in hot water with players after reversing an update that accidentally increased the game’s interaction radius, stoking the flames of an ongoing debate over the game’s attitude toward accessibility.