Yesterday it was reported that EA was preparing to announced up to 1,000 job losses. StartupGrind, who reported this said, it was because of lower than expected sales of both Battlefield 3 and Star Wars: The Old Republic.
“Estimates put Battlefield 3 sales around 13m units,” claims StartupGrind. “The company ‘chased’ the launch dumping an estimated $30m into incremental marketing after the game launched according to one source within EA.”
The site adds: “The same thing was done for Star Wars to extend its run and try to improve sales. Star Wars sell through is estimated to now be around 3m units, but the subscriptions which are needed for an MMO to payoff are already declining.”
And the speculation doesn’t end there, with CEO John Riccitiello also coming under fire – the site clams he is coming under increasing internal pressure to cut costs.
EA has now commented on the report, telling MCV, that “there is no lay-offs a such.”
“There are no lay-offs as such, we always have projects growing and morphing. At any given time there are new people coming in and others leaving. EA is growing and hiring and building teams to support the growing demand for digital games and services.”