Embracer CEO Lars Wingefors has said the Swedish conglomerate will need to "continue making tough decisions" to become a leaner, more cost-efficient company and signified that more studio closures and layoffs are on the horizon.
Speaking during a Q&A at the company's annual general meeting, Wingefors described the decision to close studios like Campfire Cabal and Volition and downsize others including Crystal Dynamics, Rainbow Studios, and Beamdog as "tough from many standpoints," but said the company is "determined" to see the process through.
Ultimately we are making decisions to either restructure or downsize some teams, and there will be a few cases of closures. It's difficult and it takes time, but we announced this in June and now we're at the end of September and we're confident to deliver on the targets we set out for the end of the fiscal year," he added.
Notably, Wingefors claimed that when it comes to cost cutting, some outcomes are more desirable than others. Ideally, he suggested Embracer would like to find "new opportunities for [affected employees], even if it's outside Embracer Group through sometimes a divestment."
Embracer open to divesting studios, confirms more closures are likely
"On the divestment side there is a strong vibrant market with many, many active players."
