Todd Spangler NY Digital Editor Electronic Arts will cut 6% of its headcount, amounting to about 800 jobs, and reduce its office space, the company announced.
The video game company, whose popular titles include “Madden NFL,” “EA Sports FIFA 23,” “Apex Legends” and “The Sims,” is restructuring to focus on “strategic priorities,” CEO Andrew Wilson said in a memo distributed to employees Wednesday. “As we drive greater focus across our portfolio, we are moving away from projects that do not contribute to our strategy, reviewing our real estate footprint, and restructuring some of our teams,” Wilson said in the memo.
EA expects to incur impairment charges of $170 million to $200 million related to the restructuring, it disclosed in an SEC filing.
That includes $65 million-$70 million related to intellectual property impairment; $55 million-$65 million related to employee severance and employee-related costs; $45 million-$55 million associated with office space reductions; and $5 million-$10 million of other charges, including contract cancellations.
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