Paladins and Smite developer Hi-Rez Studios plans to lay off an unspecified number of employees in order to ensure its "long-term success."
The decision is part of a so-called "internal reorganization and reprioritization" that will see some team members across Hi-Rez Studios being let go. CEO Stewart Chisam stopped short of confirming just how many workers will be affected by the job cuts.
Hi-Rez Studios Plans Layoffs
However, he did confirm that the planned layoffs will "disproportionately impact marketing and publishing roles."
The layoffs will also affect some people in Evil Mojo, G&A, and Titan Forge. It also has some impact on developers working on "cosmetic skin content and system features."
Chisam added that the decision was difficult but it involved necessary changes to make sure that the studio is successful in the long term. He noted a specific focus on positioning Smite 2 for a "long and sustainable future," according to Games Industry.
The planned layoffs apparently came after a "comprehensive review" of the studio's strategy and operations. Chisam noted that the news has a real human impact during a time that is extremely tough for workers within the video games industry.
He noted that laying people off was a heartbreaking decision and reflected failure in his leadership, adding that he was taking personal accountability. He then expressed his gratitude for the workers' contribution to the company.
Hi-Rez Studios is now shifting its focus on Smite 2, which came out in early access on Aug. 27, 2024, and is scheduled for a free-to-play launch next year. It is exclusively prioritizing gameplay development in the near term, IGN said.
Smite 2 Development
Chisam reassured that the game's development team has not been decimated by the latest round of layoffs. He said that the team still had a "significant size" and was larger than the development team who worked on the original Smite for most of its lifecycle.
He noted that their goal for Smite 2 is to create the best possible game experience for the community. They also want to make a game that provides joy to players and can sustain itself long into the 2030s.
The layoffs come after Hi-Rez Studios separated into multiple studios in 2018 to work on different games.
Titan Forge was responsible for the Smite titles while Evil Mojo took care of Paladins. On the other hand, G&A is presumably Hi-Rez's general and administration division.
When Smite 2 launched into early access in August, it ended up getting mixed reviews from the community. Some players said that it was promising but lacked something in meaningful ways, according to PCGamer.