Sony Announces Plans to Cut Nearly 900 Jobs in PlayStation Division

Sony has announced layoffs affecting approximately 8% of its global PlayStation workforce, totaling around 900 employees, along with the complete closure of its London Studio. The decision, described by CEO Jim Ryan as "sad news," reflects the necessity of restructuring operations amid challenging circumstances.

The closure of the renowned Sony London Studio marks a significant moment for UK game development culture, although industry experts remain optimistic about the resilience of UK gaming talent. Founded in 2002, the studio has been known for creating popular titles such as SingStar and This Is Football, as well as virtual reality experiences.

The restructuring comes amidst competitive pressures in the gaming industry, with Sony facing challenges despite the success of PlayStation 5 sales. Analysts attribute these industry-wide layoffs to the rising costs of game development and market adjustments post-pandemic, signaling broader shifts in the gaming landscape.