Jun 30, 2023 11:40:00

Pokemon GO developer Niantic announces that it will dismiss about 230 employees and close the studio in Los Angeles

Niantic , known for the operation and development of games using location information such as `` Pokemon GO '', `` Ingress '', and `` Pikmin Bloom '', has about 230 employees on June 29, 2023 local time. announced the layoffs, the closure of its Los Angeles studio, and the suspension of development of new and future AR game titles.

Niantic Organizational Update – Niantic Labs
https://nianticlabs.com/news/organizational-update

Pokémon Go Developer Lays Off 230 Employees, Closes LA Studio

https://kotaku.com/niantic-layoffs-pokemon-go-marvel-world-of-heroes-1850591267

Pokemon Go studio Niantic is reportedly laying off 230 staff and canceling its Marvel game | VGC

https://www.videogameschronicle.com/news/pokemon-go-studio-niantic-is-laying-off-230-staff-and-cancelling-its-marvel-game/

Niantic CEO John Hanke told employees on June 29, 2023, 'We are closing Niantic's Los Angeles studio, laying off about 230 employees, or about 25% of our total workforce, and leaving the gaming platform team alone. We will reduce the ``This workforce reduction will result in the discontinuation of the offering and development of NBA All-World and Marvel World of Heroes, '' he said.

Regarding this decision, Mr. Hanke said, 'Because expenses at Niantic increased faster than revenue.' At Niantic, revenue surged due to the outbreak of the new coronavirus, which increased the number of employees, opened new game projects, and increased related costs. However, after the spread of the new coronavirus calmed down, Niantic's revenue returned to the level before the new coronavirus epidemic. As a result, it is reported that projects such as new games and platforms planned during the pandemic have not brought in a return commensurate with their investment.

by

Sascha Knauf

“Since the release of Pokémon GO in 2016, the AR gaming market has become both active and competitive,” Hanke added. Our AR technology and platform should provide the functionality developers want in a robust and reliable manner, but we are falling short of those goals.” He suggests that he will focus on improving the game development environment.

``The development of Pokemon GO remains Niantic's top priority, and we are focused on keeping Pokemon GO healthy and growing as an eternal game,'' Hanke said. In addition, ``We have made some adjustments to the Pokémon GO team due to this staff reduction, but we will continue to actively invest in the game and the team,'' he said. We have clarified that there will be no impact on the operation or development of GO.

``We will also focus on the success of existing games such as Pikmin Bloom, Peridot , and Monster Hunter Now, '' Hanke said. ``While we are confident in the future prospects of these games, there is still much work to be done in terms of user retention and profitability,'' Hanke said.

Niantic also reports that it will continue to invest in AR maps and platforms for developers to build and monetize their own AR experiences, minimizing in-house projects.

“Niantic will continue to evolve in new ways, but our mission remains the same,” Hanke said. We will continue to work to build products and technologies that meet in a positive way.'