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disolitude said:

That means that the company was expanding too fast, spending resources too quicky and employed more people that they could. Its unfortunate but most American companies have always had the mentality of..."can't remain neutral on the moving train".

Also, while this is pure speculation...I think that layoffs in the videogame industry are a lot less crippling to the people getting laid off...compared to, the auto industry lets say. People making games can usually find work in flash design, website development, animation studios...etc.

It's true that some companies hire too many people. But if development costs were lower, companies could make more games with the same number of people, and decrease development risk. It's quite possible that low development costs would make companies profitable even without laying anyone off.

 



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